Photo: Faraday Future
Electric car start-up Faraday Future will be getting approximately $335 million in tax credits, abatements, and other similar stimuli in order to attract more investments in a Las Vegas suburb, where the Chinese-US company plans to build its billion dollar factory.
This decision comes after four days of discussions and has been voted overwhelmingly in favor. There has been a lot of talking around Faraday Future these weeks, after it was revealed that Chinese billionaire Jia Yueting is backing the California-based company that has lately employed a few former Tesla engineers and plans to bring no less than 4,500 jobs to Nevada.
The State of Nevada is not at its first agreement of this type, as about a year ago it offered a $1.3 billion motivational package to Tesla to build its battery manufacturing factory outside Reno. According to officials, these deals are supposed to reshape and diversify the state’s economy, which is currently based mostly on casinos.
The Las Vegas Global Economic Alliance welcomed this decision and said that “Nevada is quickly becoming the launching pad for ambitious companies that will play a critical role in reshaping the way we think about transportation.”
California, Georgia and Louisiana also offered incentive packages for Faraday Future to bring its mega-factory to their states, but Nevada prevailed with $220 million in tax credits and abatements, and the rest of $120 million in infrastructure improvements at an underdeveloped industrial park in the City of North Las Vegas.
Republican Assembly Majority Leader Paul Anderson has acknowledged that the State of Nevada is now known internationally as a place to come and do business, and they are planning to keep the momentum going and attract other investors, as Los Angeles Times reports.
Giving away $335 million to a company that hasn’t even unveiled a concept car, nor has it released any other product on the market, raised, as you would have expected, a lot of questions and caused skepticism. Nevada legislators assured everyone that they built protections into the bills, and Faraday wouldn’t be able to use all its abatements until the California-based company meets the $1 billion promised investment.
Faraday Future is expected to reveal its EV concept at the upcoming International Consumer Electronics Show in Las Vegas, and its main goal is to become a rival for Tesla’s Model S.
The State of Nevada is not at its first agreement of this type, as about a year ago it offered a $1.3 billion motivational package to Tesla to build its battery manufacturing factory outside Reno. According to officials, these deals are supposed to reshape and diversify the state’s economy, which is currently based mostly on casinos.
The Las Vegas Global Economic Alliance welcomed this decision and said that “Nevada is quickly becoming the launching pad for ambitious companies that will play a critical role in reshaping the way we think about transportation.”
California, Georgia and Louisiana also offered incentive packages for Faraday Future to bring its mega-factory to their states, but Nevada prevailed with $220 million in tax credits and abatements, and the rest of $120 million in infrastructure improvements at an underdeveloped industrial park in the City of North Las Vegas.
Republican Assembly Majority Leader Paul Anderson has acknowledged that the State of Nevada is now known internationally as a place to come and do business, and they are planning to keep the momentum going and attract other investors, as Los Angeles Times reports.
Giving away $335 million to a company that hasn’t even unveiled a concept car, nor has it released any other product on the market, raised, as you would have expected, a lot of questions and caused skepticism. Nevada legislators assured everyone that they built protections into the bills, and Faraday wouldn’t be able to use all its abatements until the California-based company meets the $1 billion promised investment.
Faraday Future is expected to reveal its EV concept at the upcoming International Consumer Electronics Show in Las Vegas, and its main goal is to become a rival for Tesla’s Model S.
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