Elon Musk, the CEO of Tesla, announced on Thursday that the firm is relocating its headquarters from Silicon Valley to Austin, Texas, where it has been building a new plant for just over a year.
Tesla’s electric vehicle factory in Fremont, California, will continue to operate, according to Musk, who even plans to try to raise production there by 50%.
During the company’s annual shareholder meeting, he stated, “Just to be clear, we will be continuing to expand our efforts in California.” “As a result, Tesla will not be leaving California.”
Musk had previously threatened to move Tesla’s whole operations out of California because he disagreed with the state’s early coronavirus pandemic shelter-in-place orders.
Tesla has even filed a lawsuit against the county in which its California manufacturing is located. Musk relocated to Texas last year as SpaceX expanded its operations in the state.
At one point, the Tesla CEO stated that he believed California had grown too “complacent” with its inhabitants and businesses.
Tesla began construction on its next US Gigafactory outside Austin in 2020 and has made amazing progress in the year since. “We’re going to establish an ecological paradise here.
on the Colorado River,” the firm says, referring to how it aims to make parts of the area accessible to the public.
Tesla chose Austin over other cities to develop because the staff were more ready to relocate there, according to Musk.
“People in California are having a hard time affording houses,” Musk remarked on Thursday. Tesla’s Austin facility is also conveniently located near the local airport, according to Musk.