The Calumet news. [volume] (Calumet, Mich.) 1907-1938, 1911-01-09
American Capital in Mexico


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Statistics of the state department OF
the republic of Mexico show that
nearly a billion dollars OF American
capital alone is invested south OF the
Rio Grande. To the exact. the Ameri-
can investment represents 1925 600 600
These dollars. with other foreign cap
ital are working an industrial and
commercial transformation that is not
confined to any particular locality or
state, but extends through the whole
length and breadth of the land of the
Aztecs.
In many big enterprises, American,
German and British capital are work
ing side by SIDE and Mexican capital
is freely intermingled with American
money in the operation of mines, man
ufacturing plants. railroads and other
! kinds of projects which are doing so
much towards the development and
up-building of the country. The Lib
eral policy OF encouraging investment
of foreign capital which President Diaz
naugurated with the beginning of his
administration of public affairs was
but little taken advantage of until
demonstration of stability of the Diaz
! regime was given.
Vast Mineral Wealth in Mexico.
1t was seen when capital began t.
wake up to the opportunity, that the
country was teeming with undevelopel
wealth. It's vast mineral riches had
been barely touched, its agricultural
possibilities were beyond any dreams
of conjecture. and other factors that
have turned the tide of wealth and
immigration toward Mexico are found
i'm its abundance of various kinds of
raw material which only awaited The
advent of manufacturing plants TO
supply the people with practically all
of the needs and many OF the Injuries
Of life. In addition, both the Pacific
and Atlantic coast lines possess a
number of natural harbors, which
could easily be converted into great
marts Of import and export traffic.
Railroads Aid Developments.
Next TO the government Of the coun-
try, the railroads have been chiefly re-
sponsible for the great Industrial and
commercial advancement Of the last
20 years. English capital was behind !
the first railroad to be built in Mexi- |
co, the Vera Cruz line. extending from
the port of Vera Cruz to the City Of 1
Mexico. When new lines of railroad |
began building through Texas, with |
the Rio Grande border as their pros |
pective objective point, projects were
set on foot TO construct lines in Next |
co that would connect with them. This !
brought about the building of the old
National and the Mexican Central. then !
followed the network of railroads that
the republic has today. The Mexican
government inaugurated the policy OF
owning a majority of the stock of the
principal railways of that country a !
few years ago. In the wake of the
railroads have come enterprises of
various kinds.
Great Mineral Country of Future.
1t is said Mexico is destined in the
future to become the greatest pro-
ducer of the precious minerals Of any
country in the world. There is scarcely
a state in which mining is not carried
on more or less extensively. Wonder
full things hae been accomplished by
the adoption OF modern methods of i
mining operations, backed by ample
American capital. Ten years ago
Guanajuato was a dead mining town. /
In the times Of the Spaniards it has
produced an enormous amount of rich
ore, but for one reason or another.
most of the mines were abandoned.
one of the reasons was the fuel prob |
lem Then came the installation Of a
great hydro electric plant at lei Durn.
state of Michoacan. A 100-mlc trans
mission line was built to Guanaiuato. /
and many millions of dollars of Am
erican money We're invested i'm the
Guanajuato district. II is now one of
the busiest localities i'm the republic
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