Indian IT giant Wipro has opened a center of excellence in the Mexican city of Tlaquepaque, in the state of Jalisco, promising to create as many as 2,500 jobs over the next few years.

Built at the cost of US$25 million, the facility will play a central role in Wipro’s operations in Mexico.

This is the first major expansion of a foreign IT outsourcing firm in Mexico after the United States tightened the noose around h-1b visa regulations, a kind of work permit widely used by non-American technology professionals.

Wipro is not new to Mexico; the company has been operating in the country since 2012 and employed around 1,200 people. More than 70% of the company’s Mexican employees are currently based in Jalisco.

The Bangalore-based firm said it chose Jalisco for the expansion due to the state having a high number of educational institutions and its abundance of tech talent.

Wipro will use the new facility to develop software for U.S. clients, as well as setting aside US$6 million to train new hires for the location, according to comments by senior officials published in Mexican newspapers.

The company’s Mexican operations posted $50 million in sales last year, a figure which the company is expecting to see grow by 40% by March 2018, reported The Insight, citing Ankur Prakash, Wipro’s Vice President for Emerging Markets.

Prakash, who was Tata Consultancy Services (TCS) head in Mexico until around two years ago, told journalists that Wipro’s headcount in the country would increase to 2,000 by the end of March 2018.

Wipro’s CEO, Abidali Neemuchwala, who came all the way from India to attend the inaugural ceremony, described Guadalajara as “an integral part of Wipro’s international network”.

“There is a very clear vision of making Guadalajara the Silicon Valley of Latin America,” he added.