With the facility set to be operational in 2025, the company aims to export these vehicles to the United States in response to the growing demand for electric trucks.
The decision to establish a production base in Mexico is strategic as it enables Beiqi Foton Motor Co to take advantage of the United States-Mexico-Canada Agreement (USMCA) and avoids lengthy supply chains by placing production near its U.S. customers.
While the site for the factory has not been chosen, Foton's director of electric vehicles in Mexico, Roberto Talavera, says it will likely be in the state of Jalisco or Aguascalientes.
Foton already has a plant in Mexico which was established in 2017. This plant currently manufactures electric trucks that are shipped to China. With the construction of a second factory, Foton will be able to expand its sale of electric trucks to Mexico, with a goal of selling up to 3,000 by 2025.
Source: Bloomberg
