Report: Tesla Close to Choosing Austin?

Steph Willems
by Steph Willems
report tesla close to choosing austin

Tesla CEO Elon Musk has made it painfully clear that Texas is his first choice when it comes to locations for a second U.S. vehicle assembly plant. The executive, disillusioned and annoyed with Silicon Valley and the general California experience, had somewhere in the central or southern U.S. on his mind when he started hunting for a new plant location.

A report out of Austin Monday suggests Tesla could be close to sealing a deal.

While it’s not confirmation of a new plant, the Austin American-Statesman reports that Tesla is negotiating the terms of an incentives deal with the city.

From the newspaper:

The Travis County Commissioners Court is scheduled to discuss the terms of the potential incentives deal in an executive session on Tuesday, according to people with knowledge of the proceedings. A vote is expected in the coming weeks.

No Travis County official would confirm the talks, or what kind of incentives the city’s willing to dangle in front of Musk. A new Tesla assembly plant would bring with it thousands of jobs, as well as the company’s revered/ridiculed Cybertruck.

Wooing a perturbed Musk emerged as a popular pastime for cities in America’s heartland this past spring, with cities like Joplin, Missouri and Tulsa, Oklahoma laying their desire for jobs, jobs, jobs bare both on social media and via back channels. Tulsa went as far as creating a temporary shine to the Tesla co-founder and suggested it would field a fleet of Cybertrucks as law enforcement vehicles.

County officials engaging in a back-and-force on incentives is no guarantee that a Tesla plant (and possibly the company’s corporate headquarters) will set up shop in Austin. It’s a normal part of any jurisdiction’s bid to lure big business. That said, it’s another bit of evidence in Austin’s favor.

[Image: Tesla]

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  • SCE to AUX SCE to AUX on Jun 15, 2020

    If Texas is the winner, the arrangement may include a backroom deal to change that state's dealer franchise laws. I can't imagine Tesla building vehicles in a state where they can't sell the product through their stores.

    • See 2 previous
    • SCE to AUX SCE to AUX on Jun 16, 2020

      @Lorenzo Perhaps the sight of all those trucks being shipped out of state will change their minds. Also of note: The UAW is spreading FUD about the new Tesla plant, questioning whether it will really bring 'safe, good-paying' jobs.

  • Volvo Volvo on Jun 15, 2020

    If the idea is avoid the disillusionment Musk says he experienced in the California bay area then the Austin area is probably not a bad choice as long as the facilities are in Travis County and not within the Austin city limits.

    • See 4 previous
    • Mcs Mcs on Jun 16, 2020

      They're looking northeast of Austin where there is rail and other infrastructure.

  • Norman Stansfield Why are leaf springs still a thing on this truck?
  • Syke The expected opening comments. Have had mine for two years now, the car has done exactly what I want out of it, and a little better. I'm quite happy with the car, haven't had to adjust my driving style or needs in the slightest, and . . . . oh, did a mention that I don't give a damn what today's price at the pump is?Probably going to go for a second one in the coming year, the wife's happy enough with mine that she's ready and willing to trade in the Nissan Kicks. Eventually, the not often used van will end up getting traded on a Chrysler Pacifica Hybrid, basically ensuring that we don't use gas for anything except the occasional long trip.And the motorcycles.
  • Bobbysirhan I've never found the Allegro appealing before, but a few years of EV rollouts make it seem downright desirable.
  • Scoutdude I know that dealership. Way back when my friend's grandfather was that Turner that owned the Chrysler Plymouth International dealer, in MacPherson. Of course the International was dropped when they didn't deem the Scout reason enough to keep the franchise. I moved from there in late 1978 so it is possible I saw this running around town way back when.
  • Lou_BC "Overpriced" is a misnomer. Arguably, if they are selling they are not overpriced. "Dealer mark-up above MSRP" is a mouthful but more accurate. Simple, don 't buy anything marked up. A computer will help you search the country. It's a PITA but doable.