The Taiwanese company Hota Industrial Manufacturing Co Ltd (), which produces and sells gears and axles for electric vehicles, including Tesla models, declared on Wednesday that it would collaborate with New Mexico to develop a plant in the industrial park of the US state.
On Wednesday in Taipei, Hota, which has many clients in North America and Europe, officially announced that it would spend about US$99 million to construct its first production facility outside of Asia at the Santa Teresa Borderplex industrial park in New Mexico.
Hota chairman David Shen () stated that the company has “long been committed to the research, development, and manufacturing of alternative energy power train components.” He added that “our successful partnerships with renowned EV makers have positioned us as a long-term strategic partner for leading EV companies in the US.”
The construction of the New Mexico facility is expected to start early next year, and full-scale production is anticipated to start in the second quarter of 2025, according to Hota CEO Holly Shen ().
The state government of New Mexico assisted Hota’s growth there by helping it find 12.14 hectares of land and providing a US$3 million “state job investment,” according to Governor Michelle Lujan Grisham of New Mexico.
The construction of the New Mexico facility is expected to start early next year, and full-scale production is anticipated to start in the second quarter of 2025, according to Hota CEO Holly Shen ().
The state government of New Mexico assisted Hota’s growth there by helping it find 12.14 hectares of land and providing a US$3 million “state job investment,” according to Governor Michelle Lujan Grisham of New Mexico.
He claimed that he had been debating between investing in three different US states but ultimately decided to go with New Mexico due to its “location, utility supplies, cost of doing business, transportation infrastructure, wages, tax rates, land cost and availability, construction, crime rate, and weather.”
David Shen responded when asked about the incentives for establishing a facility in New Mexico that the US$3 million is for the facility’s basic infrastructure, such as electricity and fire control, and that additional subsidies for local employees’ wages would also be available — each local employee hired receives a subsidy of 1,450 hours of pay, or roughly one year, for every year of employment.
Additionally, there is a federal government subsidy available for US-made electric automobiles.
