Mexico. The Economic Development Council of the State of Nuevo León approved incentives for the construction of Tesla's gigafactory in the municipality of Santa Catarina.
The incentives, which total 2,627 million pesos, are equivalent to just 3.37% of the investment that Tesla alone will make, not counting its more than 30 suppliers that are already or will arrive in the state due to nearshoring.
"The arrival of Tesla confirms Nuevo León as the next regional hub for electromobility in Latin America," said Governor Samuel Garcia.
Incentives authorized by the Council for basic infrastructure and to support the creation of new jobs through a reduction in the Payroll Tax include the construction of roads and bridges to improve connectivity in the area, as well as the expansion of the drinking and treated water network. In addition, there is support for the training of local workers.
"Tesla marks a before and after in the state's economic development," said Iván Rivas, state secretary of economy.
"For example, the gigafactory in Nevada generated an economic spillover 28 times greater than public investment, while in California 120 supply chain jobs were created for every 100 Tesla jobs," he said.
"Thus, in Nuevo Leon there would be 12,000 new direct jobs related to Tesla, almost 15% of the jobs created each year in the state," he added.
Tesla's new factory will be located in a strategic geographic area where key highways converge, such as the Monterrey-Saltillo Highway (both the 40 Libre and the 40D toll road) and the Monterrey Peripheral Ring (100).
