EV Giant BYD Denies Report Of Pause On Mexico Plant Plans

Chinese electric vehicle manufacturer BYD, has denied a report published by Bloomberg News on Tuesday stating that it has decided to wait until after the US presidential election to make a final decision regarding its proposed plant in Mexico. Stella Li, the CEO of BYD's Americas division, stated in a statement that the company "hasn't postponed any decision about a Mexico plant," as reported by Reuters.

Jorge Vallejo, general director of BYD for Mexico, stated last month that the company hopes to choose a site for its planned plant by the end of the year. That timeline aligns with a plant decision made following the election on November 5.

In the BYD statement, Li referred to Mexico as a "very relevant" market for the company. The statement was reportedly sent to Reuters and does not appear to be available to the public. She reaffirmed that this plant will only produce electric cars for the Mexican market—not for export to the United States or any other country. Reuters did not report that Li disputed other points made by Bloomberg, such as the notion that BYD has put off finding a suitable location in Mexico and that the outcome of the U.S. presidential election may have an impact on the company's decision regarding its proposed plant. Bloomberg reported that BYD would not disclose a significant plant investment in Mexico until after the U.S. presidential election, citing anonymous sources who were informed of the automaker's intentions.

Vallejo stated last month that the Shenzhen-based business was looking at three Mexican states as potential sites for its planned plant. Nevertheless, according to multiple sources close to Bloomberg, BYD has temporarily ceased its search. BYD, which has been selling some of its electric vehicle models in Mexico since 2023, has dealerships in major cities such as Mexico City, Querétaro, and Guadalajara. It has also licensed the sale of its vehicles to seven regional auto dealers in Mexico, as well as the national department store chain Liverpool. The company confirmed in February that it was planning to open a factory in Mexico, and in July announced that the proposed operations would create approximately 10,000 jobs.