Tesla’s third U.S. plant is home in two choices to produce Cybertruck and Model Y

The potential location of Tesla’s third superplant in the United States has narrowed. The automaker reportedly chose Austin, Texas, and Tulsa, Oklahoma, as the final candidates for a new assembly plant that will be dedicated to the production of Cybertruck electric trucks and Model Y models. It’s worth noting that the new plant may be Tesla’s largest.

Tesla's third U.S. plant is home in two choices to produce Cybertruck and Model Y

Tesla's third U.S. plant is home in two choices to produce Cybertruck and Model Y

Elon Musk, the company’s chief executive, recently threatened to move Tesla’s headquarters to Nevada or Texas after authorities in Alameda County, California, decided to keep Tesla’s plant in Fremont closed until the end of May. In fact, Tesla announced its search for a third plant as early as March, when Musk had not publicly criticized the government blockade order related to the new coronavirus outbreak. Elon Musk has since decided to restart Production at Tesla’s Fremont plant, despite the blockade, but it remains to be seen whether the company will actually move its headquarters outside of California.

It’s not entirely clear whether there’s anywhere else vying for the location of Tesla’s third superfactory, other than Austin and Tulsa. But locals in the U.S. often submit proposals to demonstrate the favorable terms they offer when competing for large companies’ factories and corporate headquarters. As Elon Musk previously told the Wall Street Journal, the choice of plant will ultimately depend on a number of factors, such as what incentives local governments can offer. Logistics costs, labor volume and quality of life are also major considerations for Tesla’s location for the plant.