EVs: Tesla Relocates HQ From California To Texas

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Electric carmaker Tesla is moving its headquarters away from California to the state of Texas. The company made this known in its latest annual shareholder meeting

  • That Tesla is relocating its HQ to Texas isn’t much of a bombshell. It has been, in fact, major speculation for a while that was spurred by the carmaker’s CEO Elon Musk relocating from California to Texas last December.
  • California and Texas are two states where Tesla has enormous operations, though California takes the crown for seeing Tesla grow from a small startup into a carmaking giant. Tesla’s California factory was the most crucial to its success, where it cranked up its manufacturing prowess at the smaller stage in preparation for bigger things to come.
  • Though it’s relocating, Tesla says it’ll retain its vast manufacturing and sales operations in California and continue to expand. “To be clear we will be continuing to expand our activities in California,” CEO Musk said. “Our intention is to increase output from Fremont and Giga Nevada by 50%. If you go to our Fremont factory it’s jammed.”
Beginning from the pandemic last year, it’s become a tendency for some companies to move their headquarters from California to Texas. We can score one here for the state of Texas as it’s attracted America’s biggest electric carmaker to set up its base there. Others like Tesla that have moved include software giant Oracle, IT giant Hewlett Packard Enterprise (HPE), and financial services firm Charles Schwab.

Tesla relocated to Texas just as the large manufacturing facility “Giga Texas” it’s building there is on track to start cranking out cars. Giga Texas has been under construction since July 2020 and, if all goes as planned, will begin low-volume production this year and enter mass production in 2022.
  • It’s notable that Elon Musk’s other company, SpaceX, also has major operations in Texas. It’s where SpaceX is cranking out rockets for its cardinal Starship program and also where Texas will produce its Cybertruck, making Musk closer to the future of both companies in one state. 
Tesla shares (NASDAQ: TSLA) are down 1% during trading today (Friday). The company has a market cap of $776bn, making it the most valuable carmaker globally.

                                           

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