Tesla to Open Plant in Nuevo León, Mexico

Tesla

After several contacts and negotiations, the Mexican government confirmed that the State of Nuevo Leon will have a Tesla factory, a manufacturer that is among the leaders in the production of electric vehicles worldwide.

This was announced by the President of Mexico, Andres Manuel Lopez Obrador, without providing details on the investment for the project to be executed. It is expected that in the coming days, the company led by Elon Musk will provide more information about the factory.

“The entire Tesla company is coming, the batteries are pending, but the entire automotive plant is going to be very large,” said the president from the government house.

Read also: EV Market in China May Reach 10 Million Units per Year by 2025

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López Obrador revealed that he spoke with Musk via video calls to close the deal. “Things are going well, we talked with Elon Musk, the director of Tesla, there is already an understanding, they are going to invest in Mexico and the plant will be established in Monterrey”.

He explained that the project will be carried out with a series of commitments to face the problem of water shortage. The Executive expressed his agreement with the agreement, although he also acknowledged that the start-up of the factory will not be in his administration.

“I do not want to expand the information any further, I believe that this announcement will soon be made by the company and also some commitments will be made known and next week other commitments will be made,” said López Obrador.

He pointed out that for the attraction of this series of factories that will involve a battery production center, for example, no additional incentives had to be granted. According to sector specialists, the investment will be around 10 billion dollars in different stages.

Tesla‘s landing in Mexico began to echo last October, when photographs of the billionaire in Nuevo León were revealed. Musk visited the northern state for a few hours to see firsthand the possibilities of installing a new electric car plant in Santa Catarina, a municipality with just over 300,000 inhabitants and only 380 kilometers from Austin, Texas, the epicenter of the operations of Musk’s emporium.

Tesla’s owner did not limit himself exclusively to that single location. Months later, it was known that his entourage had also flown over the State of Hidalgo, where he was offered 800 hectares to build his plant.

It is expected that in the next few hours Tesla will make the agreement official to join a Mexican ecosystem that currently has twenty automobile plants and a dozen factories specialized in the manufacture of engines and transmissions for vehicles.

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