Tesla Gigafactory Mexico and its future are completely in limbo now that President-Elect Donald Trump defeated Kamala Harris within the Presidential Election.
Nonetheless, the nation’s economic system chief, Marcelo Ebrard, continues to be hopeful he can strike a take care of CEO Elon Musk, whom he plans to satisfy with quickly.
Ebrard spoke on native radio in Mexico on Thursday and mentioned he’ll attempt to meet with Musk quickly. The assembly ought to carry extra readability to the state of affairs now that the election has ended.
Tesla deliberate to try the manufacturing facility after the election, and it stays unclear if the automaker continues to be planning on constructing.
Musk mentioned through the Q3 2023 Earnings Name that Tesla would “undoubtedly” construct Giga Mexico. It was simply involved in regards to the excessive rate of interest setting on the time:
“No, we’re undoubtedly making the manufacturing facility in Mexico. We really feel excellent about that. We put a number of effort into taking a look at completely different areas, and we really feel excellent about that location, and we’re going to construct a manufacturing facility there. And it’s going to be nice.”
Nonetheless, Trump says he’ll impose tariffs of 200 % on autos imported from Mexico, which might doubtlessly be a difficulty for Tesla and would possibly intrude with the purpose of the plant.
Musk mentioned earlier this 12 months:
“We’re at present on pause on Giga Mexico. I feel we have to see simply the place issues stand after the election…Trump has mentioned that he’ll put heavy tariffs on autos produced in Mexico, so it doesn’t make sense to speculate lots in Mexico if that’s going to be the case. So we’ll type of must see how issues play out politically.”
Tesla would seemingly not use the manufacturing facility for less than Mexico and South America. It will enhance manufacturing for the USA and assist deliveries, as effectively.
So this makes issues tough, and justifying a brand new manufacturing facility could be a tough argument to make.
In July, Mexico mentioned Tesla by no means registered an important funding software for the manufacturing facility. Raquel Buenrostro, the Secretary of the Financial system, mentioned Tesla had not put any official documentation collectively that it could be constructing a plant there. Tesla had made official bulletins confirming its intention to construct.
Now that the election has ended, Tesla’s plans may need modified.
Want equipment in your Tesla? Take a look at the Teslarati Market:
Please electronic mail me with questions and feedback at [email protected]. I’d love to talk! You may also attain me on Twitter @KlenderJoey, or in case you have information suggestions, you possibly can electronic mail us at [email protected].
