You have to wonder....here’s this smart guy, and planning for the future. It would have made perfect sense to locate in a state like Georgia, Mississippi or Alabama. You would have gotten a tax-friendly state....low cost of living...etc. Probably 8-percent of the Tesla car cost....connect direct back to business being done in California.
California, the Socialist state, looks to bite the Hand that Feeds it.
“You have to wonder....heres this smart guy, and planning for the future. It would have made perfect sense to locate in a state like Georgia, Mississippi or Alabama”
I suspect that the recently vacated GM/Toyota Plant Elon took over in Fremont had a lot to do with it. He could hit the ground running so to speak. Also the close proximity of the Silicone Valley. The difference of course is that many if not most Silicon Valley companies write code not manufacture cars. BIG difference.
You have to wonder....heres this smart guy, and planning for the future. It would have made perfect sense to locate in a state like Georgia, Mississippi or Alabama. You would have gotten a tax-friendly state....low cost of living...etc. Probably 8-percent of the Tesla car cost....connect direct back to business being done in California.
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He practically got the Tesla factory for free from Toyota.
Tesla has a new battery plant in N Nevada, just east of Reno, at the Tahoe Reno Industrial Center.
The bought ad adjacent 30+ acres about a year ago.
When they started their facilities here, I predicted that they would be moving their assembly plant from Fremont, Calif, to Nevada for a number of reasons.
As their productions grows, they cannot expand in Fremont. Cannot go up or out- frozen in size there.
The cost of workmen’s comp in Calif is a over-priced cost of doing ANY kind of business there.
The cost of hauling the batteries for assembly from Nevada across Calif to Fremont isn’t cheap. Diesel fuel is around $3.80 a gallon in Nevada, and much more in Calif.
The employees in Fremont have to pay Calif income taxes——Nevada does not have personal income taxes.
Musk can build his assembly plant in Nevada & stay even further away from Union activists. Most union work in Nevada is centered around the entertainment/hotel/casino businesses.
IF Musk wants any employees from the Fremont plant to come to the new plant in Calif, the price of housing & property taxes in Lyon County- just east of TRIC is attractive to those employees.
However-—IF those current employees want to be smart-—IF they re asked to come, they should consider that offer with an open heart.
Sherwin-Willimsa paint producer was in Emeryville, Calif for YEARS. The state made so many rules, they were down to only making white, water based paint. Sherwin-Williams built a new plant about 30 miles east of TRIC. Employees who refused to work non-union for less $$$ got left behind. They only got 6 months unemployment for that decision-—over 12 years ago.
I predict that Musk is already working on moving his assembly plant to Nevada. The cost savings alone in transporting those batteries will be enormous.