Tesla bags $153 million in incentives for Giga Mexico

Mexico wants to pace up the development of Tesla Gigafactory in the country and announced 2.63 billion pesos ($153 million) in incentives and cut through the delay.

The latest incentive is approved by the Mexican state’s economic development council including the creation of basic infrastructure such as roads, water supply, and a reduction in payroll tax.

These actions also followed Tesla Chief Elon Musk’s request earlier this year that Nuevo Leon improve electricity, water, and transportation in the region before it starts construction.

Tesla Giga Mexico

However, despite the consent from the state, the factory is still facing delay issues.

Tesla CEO Musk announced the facility during 2023 Tesla Investor Day. the plant has an allocated investment of $10-15 billion between 2023 and 2025. And the initial investment could be $4.5 billion according to the Nuevo Leon government.

(source – Bloomberg)