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InsideEVs
InsideEVs
Technology
Steven Loveday

GM May Produce EVs In Mexico To Compete With Tesla, Ford

According to recent reports, General Motors is making plans to begin electric vehicle production in Mexico. It may use its Ramos Arzipe factory in the north of the country to help it better compete with its peers.

Ford builds its Mustang Mach-E electric crossover in Mexico, and while Tesla doesn't yet have a factory there, it may be announcing a site for one soon. GM has been working in Mexico for some time, and currently produces multiple gas-powered vehicles there, but it doesn't yet manufacture EVs south of the border, let alone have a plant that's focused solely on the new technology.

Teslarati recently shared the Mexican Economic Ministry's announcement that GM is aiming to expand its EV manufacturing efforts into Mexico. In fact, it seems the minister has already been in talks with the major US automaker. 

This would all make sense since Mexico is fast becoming a popular location for EV production. It's close by and located in North America, which means cars could qualify for various materials sourcing and production rules related to the new US federal EV tax credit. Moreover, it will save automakers money.

 

Based on a translation from Google Translate, the original tweet reads:

"The Mrs. of Economy, Raquel Buenrostro, met with General Motors. They reported that by 2024 their industrial complex in Ramos Arizpe, Coahuila, will produce only electric vehicles. They announced the increase of 5,000 jobs, promoting the inclusion of gender in their workforce."

The reply is a follow-up that better clarifies the situation. The Google translation is as follows:

"The increase in jobs has been generated during this six-year term in the San Luis Potosí and Ramos Arizpe plants, resulting in a total of 4,500." 

There was not yet word from the parties involved related to plans for the factory itself, and whether or not it plans to expand the plant itself and/or eventually stop all gas car production. GM's Ramos Arizpe facility builds both the compact Equinox crossover and midsize Blazer SUV. The automaker is bringing both vehicles to market with electric powertrains in the future, so we'll have to wait and see if they end up choosing Mexico for production.

According to Teslarati, the GM factory is located near Monterey, very close to the area where Tesla may be considering setting up shop. The area boasts reliable and relatively safe highway access, plenty of resources, and affordable labor.

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