Tesla’s Electric Vehicle Factory in Mexico Nears Final Permits

Final permits for Tesla’s electric-vehicle (EV) factory in Nuevo Leon, Mexico, are expected to be ready in the coming weeks, according to a senior official. The local government has already begun infrastructure work requested by the company, signaling progress towards the construction of Tesla’s first plant in Mexico.

Tesla announced its plans to establish a major manufacturing facility in Nuevo Leon earlier this year, joining other automakers in investing in the region to meet ambitious production targets for electric vehicles. While specific details regarding construction and production have not been disclosed by Tesla, Economy Minister Ivan Rivas revealed that the automaker is considering a larger plant than initially envisioned. The company is currently finalizing design, architecture, and engineering plans.

Rivas stated that the federal government is on track to grant environmental approvals within weeks, allowing Tesla to commence construction. He expressed confidence that production would begin earlier than previously reported, possibly before 2026 or 2027. The state of Nuevo Leon is actively working to expedite the necessary infrastructure development, such as water, electricity, and transportation, to support Tesla’s operations.

Tesla has not provided an official comment on the matter. However, Rohan Patel, Tesla’s senior public policy and business development executive, acknowledged the efforts made by local, state, and federal officials in enabling the necessary permits and sustainable infrastructure.

As part of the agreement between Tesla and Nuevo Leon, the state has committed to constructing an electric power substation, a natural gas pipeline, railroad spurs, roads, and water and sewage services. These projects can be completed concurrently with Tesla’s construction and will also benefit other companies operating in the area. Additionally, an existing high-voltage electric cable near the Tesla site will be connected to a substation and transformer.

Governor Samuel Garcia of Nuevo Leon has estimated that the “Gigafactory” project, along with its suppliers, will generate approximately $15 billion in economic activity over the next two years. In anticipation of this growth, the state is calling for further investment in healthcare, education, roads, and basic services to accommodate the expected expansion.

The progress made towards obtaining final permits and initiating infrastructure development highlights the commitment of both Tesla and the Mexican government to promote sustainable transportation and economic growth in the region. As Tesla’s presence in Mexico strengthens, it is expected to contribute significantly to the country’s electric vehicle industry and create employment opportunities for local communities.