Reuters
Tesla can’t build in northern Mexico if water is scarce, president says
Tesla Inc. would be denied permits to build a plant in the northern Mexican state of Nuevo Leon, where it has eyed investing, if water is scarce, Mexican President Andres Manuel Lopez Obrador said on Friday. His comments mark the strongest sign yet that his concerns over water supply could become a deal-breaker for Tesla’s plans near the U.S.-Mexico border, underscoring critiques from analysts and investors that interference from Lopez Obrador’s government is undercutting Mexico’s potential as a nearshoring destination serving the U.S. market. “If there’s no water, no,” Lopez Obrador told reporters, when asked if he would allow the electric vehicle maker led by billionaire Elon Musk to open a plant in Nuevo Leon, a major industrial hub considered a top contender to land the investment.
