TOKYO – Japanese electrical motor maker Nidec Corp. is planning to take a position about $715 million to construct a plant in Mexico to make electrical automobile motors, its chief government mentioned in an interview with the Nikkei newspaper printed on Friday.

Development is anticipated to start throughout or after the subsequent enterprise yr beginning in April, the newspaper mentioned.

CEO Shigenobu Nagamori mentioned of the funding that the corporate’s focus was on manufacturing merchandise in a area to promote in that area.

Nidec makes a traction motor for electrical automobiles, often called “e-axle,” an integration of an built-in motor, decelerator and inverter system equal to the engine for gasoline automobiles.

The Kyoto-based firm already produces “e-axle” in China and Europe.

Nidec beforehand predicted it might produce 1.2 million models of “e-axle” within the 2023 monetary yr, greater than double the quantity deliberate this enterprise yr, in response to hovering demand, primarily in China.

It’s planning to reinforce “e-axle” manufacturing capability to 7 million per yr globally by March 2026.