Tesla’s rival BYD is considering Mexico for its new electric vehicle (EV) plant. The Chinese automaker aims to expand its global presence and sees Mexico as an excellent place to reach its goals.
BYD Mexico’s country manager, Zhou Zhou, told Nikkei Asia that Mexico is a key market with potential. He added that overseas production is essential for an international brand.
BYD is steadily strengthening its global presence. It opened facilities in Thailand this year and announced plans to build a production site in Hungary in the next three years. Latin America is BYD’s next target.
The Chinese automaker announced plans to convert a former Ford plant into an electric vehicle facility in Brazil. Mexico seems to be BYD’s next stop.
Nuevo Leon and Bajio are the tope candidates for BYD’s Latin American EV production plant. Mexico’s biggest advantage is the North American Free Trade Agreement, which created a free-trade zone reducing or eliminating tariffs on imports and exports between the United States, Mexico, and Canada.
BYD isn’t the only electric vehicle manufacturer with its sights on Mexico. Tesla plans to build its next gigafactory in Nuevo León, Mexico. Tesla’s presence in Nuevo León might increase BYD’s interest in the state since EV suppliers will likely also occupy the area.
Tesla Giga Mexico will build the company’s next-gen vehicle. Elon Musk also teased that phase three of Giga Mexico is Cybertruck production.
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