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Tesla Gigafactory to be Built in Nevada, Report Says

Tesla Model S 1 photo
Photo: original photo by autoevolution
The ongoing war against dealer alliances, as well as the final phase of development of the Model X SUV may be too much to handle at the same time for a small carmaker such as Tesla, but the American EV maker is also hard at work with its Gigafactory plant.
Previous reports hinted that Tesla intends to build the facility somewhere in the west, but now we know that the Palo Alto-based company that makes the Model S sedan decided that Nevada is the right place to accommodate the gargantuan Gigafactory.

A report published by CNBC citing government sources reports so, while a Tesla spokesperson confirmed the info via email, declaring that the company is looking forward to join Nevada state officials for a "major economic development announcement," this Friday in Carson City.

According to the previously mentioned source, the electric vehicle manufacturer is currently negotiating specifics of the contract. Even so, it's pretty clear that Tesla + Nevada = ka-ching! Tesla has already began clearing a big area in Sparks, a city in Washoe County, Nevada, that is located east of Reno. Although California was previously considered as the state to sign the deal with Tesla, Elon Musk's company and Cali state officials didn't agree on certain specifics and the deal went all lukewarm.

It's possible that Tesla might get a little greedy with the incentive package prepared by Nevada authorities and will seek a better deal in Texas, Arizona or even New Mexico. Nevada Senator Harry Reid recently declared that he "would not start counting jobs on Tesla now, anyway… there is a limit to what we can offer. And where that limit is here or not, that is up to Gov. Sandoval."

Whether Tesla Motors will choose Nevada or not, Elon Musk expects that state officials will prep a special incentive package worth $500 million or 10 percent of the total Gigafactory investment. A whopping $1 billion has been already chipped in by Panasonic, which will provide battery tech, as well as assembly solutions and such. According to an official Tesla Motors statement, the facility will employ 6,500 people by the year 2020 and will make 35 GWh of cells and 50 GWh of batteries per year.
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About the author: Mircea Panait
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After a 1:43 scale model of a Ferrari 250 GTO sparked Mircea's interest for cars when he was a kid, an early internship at Top Gear sealed his career path. He's most interested in muscle cars and American trucks, but he takes a passing interest in quirky kei cars as well.
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