Tesla to announce upcoming EV factory in Mexico as soon as next week

Tesla Inc is finalizing plans to build an electric vehicle assembly plant in an industrial area of northeastern Mexico and may announce the factory as early as next week.

The plant will be located in Santa Catarina in Monterrey city, the capital of Nuevo Leon state in Mexico, Bloomberg reports citing people familiar with the matter.

Final details are still being worked out, and the talks with the company have involved both the state government and Mexico’s foreign relations ministry, the report said.

It is unclear what models Tesla would produce in the Mexican factory or when it would begin production, Bloomberg said. Details could be announced in the coming days, it said. Tesla did not immediately respond to a Reuters request for comment.

Two people with knowledge of the matter told Reuters in October that Tesla Chief Executive Elon Musk was considering investing in the northern Mexican state of Nuevo Leon, which borders Texas.

Musk held a meeting in the state with Nuevo Leon Governor Samuel Garcia along with other local officials, and Ken Salazar, the US ambassador to Mexico, one of the sources said.