Great automotive giant Tesla has applied to expand its gigafactory in Austin, Texas. According to official records, Tesla has sought to expand its Texas gigafactory with a $775.7 million investment, one of its greatest growth initiatives since constructing the $5.5 billion gigafactory in Germany last year.
According to the company’s registrations on the website of the Texas state department of licencing on Monday and Tuesday, it intends to build five additional facilities at its Austin location, including a cell test lab and a unit called “Cathode.”
A Reuters inquiry for comment received no immediate response from Tesla.
The Austin expansion comes days after Reuters reported that Tesla promoted Tom Zhu, its China CEO, to assume direct control over the automaker’s North American and European sales activities as well as its U.S. assembly plants.
The most expensive carmaker in the world has been dealing with manufacturing and logistical issues related to COVID at its important Shanghai centre, along with mounting demand worries.
Deliveries made by Tesla during the fourth quarter fell short of expectations. Additionally, according to Reuters, the corporation is prolonging the decreased output it started in December by maintaining a lower production schedule at its Shanghai factory through January.
Elon Musk’s Take:
Elon Musk, the company’s CEO, described the company’s original vehicle assembly plant outside of Berlin, Germany, and the Austin factory as “gigantic money furnaces” in an interview with Tesla Owners Silicon Valley.
On March 1, the firm is anticipated to have its investor day at the Austin plant, where it is anticipated to announce plans for capital allocation and expansion. Additionally, Tesla has a production plant in Fremont, California, and a gigafactory in Nevada.
According to a December story in the local daily Reforma, Tesla expects to soon announce plans to build a gigafactory in Nuevo Leon, in northern Mexico.
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