Tesla to Build Gigafactory in Mexico – Boosting Economy and Industry

After Tesla announced its plan to build a Gigafactory in Nuevo Leon, Mexico, the Mexican government suggested that the company build a battery plant in the country. While Tesla’s interest in the project has yet to be confirmed, local officials have reported that the company has scouted potential sites in Hidalgo, Queretaro, and Puebla. However, Mexico’s finance minister noted that the country might need help to offer incentives comparable to those in the US.

Tesla’s Mexico Gigafactory will be the company’s sixth worldwide, with a scheduled start date at the end of 2023 or early 2024. The factory will be built on a site nearly twice the size of its Texas factory and is expected to attract suppliers and other big companies to the region. The initial investment of the factory will be $5 billion, with construction taking place over three phases.

Nuevo Leon, where the factory will be located, expects the economic benefits to extend to neighboring states, with the Gigafactory attracting related industries like electromobility, aerospace, and telecommunications. With Tesla, the state expects exports to triple, creating a green industry hub in the region.