The plant is expected to be located in the municipality of Ciénega de Flores and will have an area of 160 thousand square meters, where heavy vehicles from Volvo and Mack will be manufactured.

The governor of Nuevo Leon said that the project to install a Volvo heavy truck plant in the state was "closely guarded" and that the official announcement will be made on Thursday, August 22, in conjunction with the directors of the Swedish automaker.

"We have been asked about the new Volvo Plant, it is a project that we had 'closely guarded', I am very happy, Volvo is coming to Nuevo León and on Thursday I will give you the details, and we will make the official announcement with the company's executives," said the president in his Instagram stories.

"Nuevo León is first in everything and is the best place to be born, grow up, live and invest," concluded Governor Samuel García.

This announcement strengthens the presence of automakers in the state, with Kia Motors, Navistar and now Volvo.

The plant is expected to be located in the municipality of Ciénega de Flores and will have an area of 160 thousand square meters, where heavy vehicles from Volvo and Mack will be manufactured.

In April, the automaker said the facility would provide additional capacity for Volvo Trucks and Mack Trucks' growth plans in the U.S. and Canadian markets and truck sales in Mexico and Latin America. Volvo had announced plans to build the Mexican plant at the time, but did not disclose the location. At the time, it said it would be used to build heavy-duty trucks to supplement U.S. production.

Volvo has invested US$73 million in LVO expansion and upgrades and is currently investing an additional US$80 million for future production.

The news is seen as a consolation or revenge for the abrupt exit of the Tesla plant that the tycoon Elon Musk was originally going to install in the state.