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Tesla plans $3.6 billion factory expansion that will bring 3,000 new jobs to Nevada

By Nithya Bose in US business news, posted January 25, 2023

Tesla has announced a multi-billion gigafactory expansion in Nevada that will create 3,000 new jobs.

The automaker plans to invest more than $3.6 billion in the factory near Reno, which makes batteries and electric car components.

This enormous investment will help the Austin company to grow its lithium-ion battery and EV component facilities.

One of the new plants would produce large amounts of semi-trailer trucks.

The other would build enough batteries for two million passenger vehicles per year.

Tesla has spent $6.2 billion in Nevada and constructed 5.4 million square feet of factories there since 2014.

Over the past nine years, it has employed more than 11,000 people to produce around 7.3 billion battery cells and 3.6 million drive units.

Nevada's growth plans follow the company's filing of papers for a proposed $775 million expansion of its electric-vehicle facility in Austin, Texas.

It will also concentrate on the manufacture of batteries and automobile components.

CEO Elon Musk said last year the firm might launch 10 to 12 new plants to boost production to reach the goal of selling 20 million vehicles by the decade’s end.

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But, the factory expansion plans come after a hard year for Tesla.

Last year, the company's stock price had the worst hit due to production disruptions in China, recession fears, and other factors.

Tesla's stock has dropped nearly 54 percent over a year, which led Musk to lose his crown as the world's richest person.

Mr. Musk sold more than $3.5 billion in Tesla shares late last year to help finance Twitter's buyout, raising concerns about the auto company's future.

Source: The Wall Street Journal

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