Tesla invests $3.6 billion to expand Nevada complex with two factories

The other factory will make new battery cells, called 4680, and have the capacity to make enough batteries for 2 million light-duty vehicles annually. Together, the plants will employ about 3,000 people.

Reuters

January 25, 2023 / 06:23 IST

Tesla

Tesla Inc said on Tuesday it would invest more than $3.6 billion to expand its Nevada manufacturing complex with two new factories, including the first facility to mass produce its long-delayed Semi electric truck.

The other factory will make new battery cells, called 4680, and have the capacity to make enough batteries for 2 million light-duty vehicles annually. Together, the plants will employ about 3,000 people.

The Elon Musk-led company's existing complex in the city of Sparks makes lithium-ion batteries, vehicle parts and other products such as Powerwall, a power backup system for consumers.

Unveiled in 2017, the Semi was initially expected to go into production in 2019 but its first delivery was delayed to December, when Musk handed a vehicle to PepsiCo. The move marked Tesla's first foray into the trucking business.

The 18-wheeler truck has a range of 500 miles on a single charge and can carry 81,000 pounds including the cargo. It may qualify for tax credits of $40,000 offered for clean commercial vehicles under the Inflation Reduction Act, which was signed into law in August.