Photo: Tesla

PULSE NEWS MEXICO

Back in the United States, Elon Musk may be distracted by his recent and controversial takeover of Twitter, but here in Mexico, he is moving full speed ahead with plans to open a giant Tesla assembly plant in the northern state of Nuevo León.

Musk’s U.S-based electric car manufacturer Tesla is expected to announce in the coming days an investment in Nuevo León that could amount to more than $10 billion over several years.

If that amount is confirmed, which would constitute the largest foreign investment ever in Nuevo León, Mexico would join the United States, Germany and China as home to one of the company’s giga-factories.

Tentatively, Musk is expected to make the formal announcement this week, although there have been some indications that he will postpone the announcement until January.

Sources close to the negotiation process have revealed that the factory would represent an initial “multimillion-dollar investment” that would include various production processes and would be located in a complex in Santa Catarina, Nuevo León.

“Investment, including initial phases and future expansions, would exceed $10 billion,” one of the sources said.

“In initial phase, the investment would be for the production of various components for existing models (of electric vehicles), and in future phases the plant would manufacture a new model with a lower cost than the current ones.”

This information coincides with what was announced by Nuevo León Governor Samuel García on Dec. 8, when he said that “historic investments” are expected for the state and the nation, but declined to give details, arguing confidentiality contracts.

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