| 16 April 2024, Tuesday |

Tesla details $1 bln costs for new Texas factory, targets year-end completion

Tesla Inc (TSLA.O) is planning to spend more than $1 billion on its new vehicle factory in Austin, Texas, and plans to complete construction by the end of this year, public filings with a Texas state agency showed.

Filings submitted to the Texas Department of Licensing and Regulation (TDLR) on Friday outlined Tesla’s spending on various manufacturing capabilities at its Austin factory. The company said it plans to complete construction of its general assembly, paint, casting, stamping and body shop facilities by Dec. 31.

The five facilities would have a combined square footage of nearly 4.3 million (0.4 square kilometer), and cost a combined $1.06 billion, according to the filings.

Electric vehicle news outlet electrek first reported on the filings on Monday.

The TDLR regulates and licenses a broad range of businesses, facilities and equipment. The Tesla filings were made under the agency’s architectural barriers project, which reviews and inspects projects ensure they comply with Texas’ accessibility regulations.

The agency did not immediately respond to a request for comment.

Tesla Chief Executive Elon Musk has previously said the company plans to start limited production of its Model Y mid-size SUV this year, and high-volume production next year.

Construction for Tesla’s new factory, located close to the airport on the eastern outskirts of Austin and projected to cost $1.1 billion, began during the summer of 2020. The company is expected to receive nearly $65 million in local tax rebates for the factory, which Tesla said will create some 10,000 jobs, most of them low skilled.

Construction groups can be seen working on the massive plant day and night, and the factory building is expected to be at least 0.75 miles (1.21 km) long once completed.

Tesla has also said it would move its headquarters to Austin, Texas from California.

  • Reuters