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Tesla Looking for a Factory for Cybertruck Production

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【Summary】Demand for the Cybertruck is off the charts, and with Tesla working on manufacturing its three core vehicles and introducing the Model Y, the electric automaker is looking for a new space to build its electric truck.

Original Vineeth Joel Patel    Mar 14, 2020 6:00 AM PT
Tesla Looking for a Factory for Cybertruck Production

Demand for electric vehicles just isn't there in the U.S. But that's not the case for every automaker. Tesla's found a way to have the hottest cars on the market and it's not secluded to just one of its models. The Tesla Model S, Model X, and Model 3 are all extremely popular. Tesla, though, has quite a lot in the works. There are the upcoming Model Y and the wacky Cybertruck that looks like it will actually be built. To put all of these on the road, Telsa's going to need some more space to build the machines.

Tesla Talking With Tennesse And Texas

According to a report by TechCrunch, Tesla's reportedly holding talks with officials in Nashville, Tennessee with the intent of finding a location for a new factory. The new location would be responsible for the production of the Model Y and Cybertruck, claims an unnamed source.

As usual, Tesla's CEO took to Twitter to confirm the news. "Scouting locations for Cybertruck Gigafactory. Will be central USA," Elon Musk stated in a Tweet. He went on to add that the factory would be in charge of manufacturing Model Ys to be sold along the East Coast. To get the vehicle onto the road, Tesla will begin building the crossover at its current plant in Fremont, California.

While Musk didn't exactly say Tennessee in his tweets, TechCrunch spoke with an anonymous source that had plenty of information on places where Tesla's looking for its next factory. According to him or her, Nashville is on a very small list of possible locations.

Why Nashville Makes Sense

Nashville has become a hub for one major automaker: Volkswagen. The German automaker spent $800 million to expand its factory in Chattanooga, Tennessee to become a base for its electric-vehicle production. VW will begin to build electric cars at its plant in Tennessee starting in 2022. VW's not the only automaker that is building cars in Tennessee. Nissan's been manufacturing its all-electric Leaf in Smyrna, Tennessee since 2013. So Tesla would fit right in.

"Central USA," though, is an incredibly vague way of saying that Tesla's still looking. In February, Elon Musk took to Twitter to Tweet "Giga Texas?" with a poll. Out of 305,724 votes, 80.2 percent of respondents answered "Hell yeah." So Texas could be a possibility. But what the Tweet shows us is that Tesla is still looking around for the perfect spot. We're sure government incentives will play a large role in where the automaker eventually settles down. Nevada gave Tesla a $1.3 billion incentive package to build its Gigafactory in the state.

In a report by Bloomberg, the outlet claims that Musk is close to choosing Texas as the site for its new factory. The chipmaker that Tesla uses is based in Austin, Texas and Musk's SpaceX company is also located in Texas. For SpaceX, Texas offered the company as much as $2.3 million for the company to manufacture a launch facility in Brownsville, Texas. Tesla is the home to multiple automakers, especially those that sell pickup trucks.

We're sure multiple states will try to lure Tesla with incentives, as getting an electric automaker as hot as Tesla would be a major win.

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