The site of Tesla’s planned new gigafactory in the northern Mexican border state of Nuevo Leon spans several thousand acres, making it almost twice as big as the company’s Texas plant. According to a statement by Mexican officials on Thursday, construction is slated to begin in three months.
The mayor of Santa Catarina in the state of Nuevo Leon, Jesus Nava, said the land, which the electric carmaker has purchased from private owners is nearly 4,200 acres, and is situated in an industrial zone. He added the property was over twice as large as Mexico City’s international airport.
According to Tesla’s website, the company’s Austin, Texas factory, one of three factories the carmaker operates currently, is situated on 2,500 acres.
Nava noted that Tesla is planning to reveal the car models it will produce in the plant when it breaks ground on construction, which is currently planned for three months from now.
CEO Elon Musk announced the plans for the new factory on Wednesday. The announcement came a day after Mexico’s President, Andres Manuel, Lopez Obrador said that Tesla had committed to build an assembly plant in northern Mexico.
Nava said that the initial plan is to spend $5 billion and hire 5,000 people, however the company will eventually expend $10 billion on the project, and hire up to 10,000 workers.
Nava said, “This will bring a great economic spillover,” adding that already the area was seeing auto industry suppliers expanding their presence to capitalize on the opportunity.
Mexico’s government has promoted the fact the plant will be the world’s largest electric vehicle factory.
The new plant’s location, in the city of Santa Catarina, near Monterrey, one of the biggest cities in Mexico, is just a few hour’s travel south of the US-Mexico border.
According to a senior Mexican official, the factory will produce approximately 1 million vehicles per year, which will account for roughly a third of the global manufacturing capacity of the automaker.
Nava commented on the controversy which erupted when President Lopez Obrador threatened to withhold permits if he felt there would not be enough water in the region, after it endured a drought last season. Nava said the deal had never been in danger, and was always assured of being approved.
Nava said, “It was never at risk… it added an extra factor for executives when making a decision.”
He added Tesla was noted for using recycled water in its factories, and such companies typically use a very minimal amount of water.
