• Image Credit: Tesla Motors
  • Image Credit: Tesla Motors
  • Image Credit: Tesla Motors
  • Image Credit: Tesla Motors
  • Image Credit: Tesla Motors
  • Image Credit: Tesla Motors
  • Image Credit: Tesla Motors
And they're off! Arizona, Nevada, New Mexico and Texas are all in the running for Tesla Motors' gigafactory, USA Today says. And the politicians are already talking big, which is the operative word for a factory that could cost $5 billion, require 1,000 acres, take up 10 million square feet and support 6,500 jobs. Oh, and build battery packs for a half-million EVs a year.

New Mexico Gov. Susana Martinez earlier this week said the state was considering a special legislative session to work up an economic package for a possible Tesla factory. The governor is playing up how the state recently cut corporate tax rates and says New Mexico's in talks with the electric-vehicle maker, though she's hush-hush about the details, the Albuquerque Journal says.

Meanwhile, Arizona this week proposed a bill that would allow Tesla (which has a showroom in Scottsdale) to sell its vehicles in the state without a third-party dealership network. There are politicians claiming such a law wouldn't be a carrot of sorts to lure the company's new battery plant, according to AZ Central, to which we say "yeah, sure." The bill, which would need Arizona Senate approval, would put the state diametrically opposite Texas, which has been the most steadfast about retaining the age-old third-party dealer system that Tesla's been trying to subvert. Taking it one step further, Tucson Mayor Jonathan Rothschild said the city has identified a suitable site and is willing to pony up tax incentives over and above what the state will offer, according to the Arizona Daily Star.

And Nevada? Well, it has Vegas. Of course, Tesla itself has encouraged a bit of March Madness-style guesswork by posting a forum on its website in which readers and writers can hypothesize on where the factory will end up. Stay tuned.


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  • 33 Comments
      archos
      • 8 Months Ago
      Texas and Arizona blocking the sale of Teslas. Doesn't seem like a wise choice for factory production. New Mexico had an explosion at their experimental underground high level nuclear waste storage site (called WIPP) on Valentines day. This is some of the highest level nuclear waste on the planet. PLUTIONIUM was released unvented for weeks, and the government expects continued releases of plutonium particles into the air, though they keep saying its "safe". It would be a gamble for the factory and the workers to build there. That leaves just Nevada.
      James Hoyt
      • 8 Months Ago
      Buy Graphite One resoarces (GPHOF) This is the largest deposit of large flake pure Graphite in the world located in Alaska, this graphite will be needed to make all new car BATTERIES.
      smarttechceo
      • 8 Months Ago
      As a Tesla owner I REALLY hope that Tesla doesn't locate its battery factory in a state like Texas or Arizona that won't allow Tesla sales. You have to love how these "free market conservatives" freely wield the club of government to protect their donors.
      Grendal
      • 8 Months Ago
      I live in New Mexico and still hope that Tesla goes to the state that gives them the best advantage to succeed. I would have bet money that Tesla would keep the factory in California and I was completely wrong about that. Texas, even if they change their legislation, would be in fourth place if you ask me. Texas is already in negotiations with SpaceX for a launch facility. So Elon has all kinds of leverage with the state and the dealerships there just have too much influence to get any change to happen.
      Jim1961
      • 8 Months Ago
      There is lithium mining operation at Silver Peak, Nevada and Nevada is closest to Fremont. Nevada would also be the ideal place for people placing bets on which state will land the gigafactory ;) http://en.m.wikipedia.org/wiki/Silver_Peak,_Nevada
        Levine Levine
        • 8 Months Ago
        @Jim1961
        And Nevada has no state income tax. Corporate income tax is much lower than California. Most importantly, Nevada is not anti-business state with an expense Big State Government.
          Joeviocoe
          • 8 Months Ago
          @Levine Levine
          With the population of Nevada, compared to California... of course. With more people, comes more liberalism. With more land, comes more conservatism.
        Spec
        • 8 Months Ago
        @Jim1961
        Yeah, I hope Tesla gets Texas and Arizona to get rid of their dealer franchise laws . . . and then give the project to Nevada. :-)
      • 8 Months Ago
      Why can't we get the Province of Ontario into the GigaFactory bidding? Huge auto mfg market, clean coal-free grid and the highest volume Tesla Store (Toronto - Yorkdale Mall).
      porosavuporo
      • 8 Months Ago
      This just in, New Jersey is out of the running. In Texas, the National Gigafactory Dealers Association is objecting for Tesla to sell this factory directly to the state, so its unlikely to go forward.
      • 8 Months Ago
      Gonna happen in Texas. Texas has so many workers comp loopholes, cheap labor, no state income tax and on top of that they will give a company like this a tax break that will last for years to come. The only disadvantage is the Texas State Franchise Tax (applies to all LLC's and Corporations).
        Joeviocoe
        • 8 Months Ago
        Labor is not as important in this type of manufacturing process. Tesla is not really looking for "cheap labor" to assemble battery packs that must be held to high safety standards. Materials and distance from Freemont, CA will play a bigger part.
      Dave D
      • 8 Months Ago
      As a born Texan...I'd like to see Elon tell Texas to take a flying leap. I am proud to be born a Texan, but we've got our heads so far up our A$$ right now, that we need a wake up call. Letting NADA rule? Pretending that we're pro-free market....disgusting. I live in Atlanta these days and every state has it's own problems...but at least Ga is not so hypocritical about the stupid things they do...they just wallow in their ignorance LOL And no, I'm not pro liberal. I wouldn't live in California for anything. Wow, they are screwed up. Of course, Texas is doing better with solar and wind so maybe there is hope. I'm not espousing counter productive things that cut the legs out of existing energy, just letting the new ones flourish and get a foothold so they can one day be on a level playing field.
        lad
        • 8 Months Ago
        @Dave D
        At last someone else speaks truths about Texas; I though I was on an island by myself. Georgia ain't much better, I, like many young people, left Georgia to join the Navy because of the poor job opportunities and the narrow thinking religious-driven people. Of course, that was in 1952 and I know the jobs market has improved by now; but, I suspect the religious extreme is still firmly entrenched and all vote Tea Party Republican. My recommendation to Elon Musk would be Nevada or New Mexico because of the politician Republican crazies in Arizona and Texas, who can never be trusted.
        lad
        • 8 Months Ago
        @Dave D
        At last someone else speaks truths about Texas; I though I was on an island by myself. Georgia ain't much better, I, like many young people, left the Columbus, Georgia to join the Navy because of the poor job opportunities and the narrow thinking religious-driven people. Of course, that was in 1952 and I know the jobs market has improved by now; but, I suspect the religious zealots are still firmly entrenched and all vote Tea Party Republican. My recommendation to Elon Musk would be Nevada or New Mexico because of the politician Republican crazies in Arizona and Texas.
      Ricardo Gozinya
      • 8 Months Ago
      So, Texas doesn't want Tesla's sold in their state, but they want the battery factory. Yeah, that makes perfect sense. Nevada would be a way better choice for Tesla, maybe Arizona. New Mexico's just way too far away, and Texas, on top of the distance and hostility to the cars, has flammable water.
        Levine Levine
        • 8 Months Ago
        @Ricardo Gozinya
        I say Nevada is the winner.
        RoyEMunson
        • 8 Months Ago
        @Ricardo Gozinya
        Arizona doesnt allow direct sales either. I would not do business with either of those states for that reason. Nevada is the best choice IMO.
          James
          • 8 Months Ago
          @RoyEMunson
          If you read the article you would know that Arizona has just changed the law and now does allow Tesla to sell directly to the consumer.
          RoyEMunson
          • 8 Months Ago
          @RoyEMunson
          Ironic... did you read the article or just scan over it quickly? They "proposed a bill", nothing has changed yet.
          Joeviocoe
          • 8 Months Ago
          @RoyEMunson
          Benjamin Franklin is the great "informer".
          paulwesterberg
          • 8 Months Ago
          @RoyEMunson
          ... so that they may make an "informed" decision about this important legislation.
          paulwesterberg
          • 8 Months Ago
          @RoyEMunson
          AZ lawmakers are open to accepting bribes from all sides.
      Ryan
      • 8 Months Ago
      Which one would be easiest to get raw materials into? How much fuel will be used trucking the batteries half way across the country from Texas? Plus trucks have to pay a fee to cross NM and AZ each time.
        Grendal
        • 8 Months Ago
        @Ryan
        I'm certain that all of that will be put into the equation. It isn't all up to which state gives Tesla the sweetest deal.
        grantisgr8
        • 8 Months Ago
        @Ryan
        That's why they are supposedly looking for a rail line nearby.
      • 8 Months Ago
      How is Nevada exactly close to Freemont? How fun is downtown Freemont? Its about as half as exciting as one half block in Austin. The Austin area is a no brainer. Green friendly, plenty of manufacturing companies, Dell, Apple, Samsung, AMD, Intel, Motorola, water, interstate, lower taxes, railways, companies, that will buy the batteries for laptops, etc. Also Mr. Musk can rub elbows with Carmack and Garriott on the rocket side of things. Its not too far to the port of Houston either, and you are in the middle of the country, so shipping anywhere never takes that long.
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