🧐 ProPicks AI October update is out now! See which stocks made the listPick Stocks with AI

Tesla negotiating incentives for possible Texas vehicle assembly plant, report says

Published 2020-06-15, 02:32 p/m
© Reuters. FILE PHOTO: Automobile awards The golden steering wheel in Berlin
GM
-
TSLA
-

(Reuters) - Electric carmaker Tesla Inc (O:TSLA) is negotiating possible incentives with a Texas county that could bring a new auto assembly plant to the area near Austin, the state capital, the Austin American-Statesman reported on Monday.

Travis County Commissioners Court is scheduled to discuss terms of the deal on Tuesday, the paper reported, citing people with knowledge of the situation. A vote is expected in the coming weeks.

The paper said it was unclear whether negotiations with Travis County show that Tesla has picked the Austin region as the site for the plant, which would build the company's electric pickup truck and Model Y SUV and employ thousands of people, or if the company is also negotiating with officials in Tulsa, Oklahoma.

Tesla officials could not immediately be reached to comment. The company's chief executive, Elon Musk, has tweeted previously about the possibility of bringing a plant to Texas. Oklahoma also has been mentioned as a possible site.

Travis County officials declined to comment, and a spokesman for the Texas governor's office did not immediately comment.

Last month, Texas Governor Greg Abbott said he had spoken with Musk about a potential plant.

Abbott's comments came three days after Musk had threatened to move Tesla's headquarters and future operations to Texas or Nevada after officials in California's Alameda County, where Tesla's only U.S. vehicle assembly plant is located, said the plant could not yet reopen because of coronavirus lockdown measures. The plant has since reopened.

© Reuters. FILE PHOTO: Automobile awards The golden steering wheel in Berlin

Officials with the United Auto Workers union, which represents hourly workers at General Motors Co's (N:GM) assembly plant in Arlington, Texas, said they believe a Tuesday county meeting will include talks about the possible deal. The union, which has unsuccessfully tried organizing Tesla's Fremont, California, plant, called on Texas officials to obtain assurances from Tesla about any potential jobs.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.