Nuevo Leon Slashes Payroll Tax to Lure EV Investment & Boost Economy

Nuevo Leon launches major payroll tax (ISN) cuts & subsidies, targeting EV investment (up to 95% off), local sourcing and exporters. Includes significant debt relief on past ISN dues. Aims to attract nearshoring and boost economy.

Nuevo Leon Slashes Payroll Tax to Lure EV Investment & Boost Economy

The government of Nuevo León, Mexico's industrial powerhouse, has launched an aggressive fiscal stimulus package heavily focused on its payroll tax, aiming to cement its position as a primary destination for nearshoring investment, particularly within the rapidly expanding electromobility sector.

The package, announced ahead of a November 30th deadline for companies to adhere, features substantial discounts and subsidies on the state's Impuesto Sobre Nómina (ISN), or Payroll Tax. Officials are betting these incentives will provide a critical edge in attracting new manufacturing operations and supporting existing businesses navigating global economic shifts.