Nissan Motor Co. CEO Carlos Ghosn says he is considering the United States and Mexico for a new North American factory to meet demand in both countries.

"We will need capacity in North America and yes, there is a high probability that in the future we will be announcing a new plant in Mexico or the U.S.," Ghosn told reporters in Mexico City, according to Bloomberg.

Nissan is Mexico's largest automaker and is already building a third, $2 billion factory in Aguascalientes, Mexico. In the first 10 months of this year, the automotive company increased production 16% to more than 583,000 vehicles.

Ghosn says he has not made a decision on the location or timetable for the new plant.