Elon Musk seeks to strengthen business in Nuevo León

The strong bond between Musk and Trump could benefit Tesla in Nuevo León, as they await a $400 million contract. Political challenges are anticipated.


Elon Musk seeks to strengthen business in Nuevo León

Businessman Elon Musk seeks to establish a business in Mexico that would benefit the Tesla plant in Nuevo León. To avoid issues with the tariff situation between Trump and Claudia Sheinbaum, Musk prefers to maintain a low profile. Officials from the Nuevo León government are in contact with Tesla executives and hope that the relationship between Musk and Trump endures over time, despite only 11 to 13% of Americans wanting Musk to have a significant influence on the Trump administration.

Tesla sold around 39,000 vehicles last year, with a starting price of $80,000, which limits its accessibility for many buyers. It has recently been revealed that the State Department could award Elon Musk a $400 million contract to supply Cybertruck-type vehicles. In the last five years, Musk has received government contracts totaling $13 billion in the United States.

This news is being met with relief in Nuevo León, especially because the plant project in Santa Catarina, aimed at producing the vehicles Musk plans to sell to the U.S. government, has faced political hurdles in the region. It is expected that, alongside this business, Musk will seek approval from the U.S. government for his autonomous vehicle patent, which would transform Tesla into a more technology-oriented company than an automotive one.

The State Department's acquisition plan was published in December and has generated expectations regarding Tesla's future. Although Cybertruck sales have been modest since its launch at the end of 2023, this new business opportunity is expected to boost the company and strengthen its presence in the international automotive market.