Tesla

To further build out the future of electric mobility, Tesla expanded its production by setting up a massive Gigafactory on the outskirts of Nevada. This is called the Gigafactory 1 and though it might still be under construction, the automaker has today announced that it plans to scout for up to three more locations to set up future Gigafactories. This action plan will bring the total number of Gigafactory location to five.

How five, you ask? Well, in its shareholder letter for the fourth quarter, Tesla has revealed that it will be referring to its Buffalo factory as Gigafactory 2. At these facilities, the automaker is working hand-in-hand with Panasonic to build solar panels, an important slice of his sustainable vision. The latter recently invested a whopping $256 million in Tesla-owned SolarCity’s Buffalo factory to extend its partnership with Tesla beyond batteries. It will soon be churning out SolarCity’s futuristic solar roof products.

The same has been described in the shareholder letter as under:

Later this year, we expect to finalize locations for Gigafactories 3, 4 and possibly 5 (Gigafactory 2 is the Tesla solar plant in New York).

Currently, Gigafactory 1 in Nevada is being utilised to produce a majority of batteries for Tesla’s energy storage products — Powerwall and Powerpack. The facilities are currently undergoing upgradation to ready it for the production of their affordable Model 3 vehicles. Similar changes are also being introduced in the primary Fermont factory to keep the Model 3 on track for release in July of this year. This can also be confirmed by Musk’s intimation of Tesla stepping foot into India, this summer. The letter further adds,

Installation of Model 3 manufacturing equipment is underway in Fremont and at Gigafactory 1, where in January, we began production of battery cells for energy storage products, which have the same form-factor as the cells that will be used in Model 3. 

Though Tesla co-founder and CEO has previously mentioned the need for “several” Gigfactory locations in the future, this is possibly the first time he has acknowledged that the company is surely scouting more locations. Tesla has finally the pen to paper to inform us about their plans, with an actual count and timeframe for additional Gigafactory setups. And as speculation run wild, Tesla may have plans to set up these Gigafactories outside of the United States, possibly Europe or Asia, to help expand its reach worldwide.

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