Mexico's President Andrés Manuel López Obrador said Tuesday that electric car company Tesla has committed to building a plant in the industrial hub of Monterrey in northern Mexico.
López Obrador said the promise came in phone calls he had Friday and Monday with Tesla head Elon Musk.
López Obrador had previously ruled out placing such a plant in the arid northern state of Nuevo Leon, where Monterrey is the capital, because he didn’t want any water-hungry factories in a region that has suffered severe water shortages. But he said Musk’s company had offered several commitment to address those concerns, including using recycled water.
“There is one commitment that all the water used in the manufacture of electric automobiles will be recycled water,” López Obrador said.
López Obrador did not specify the size of the investment or what the plant would produce, noting that the company planned to release more details on Wednesday.
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