U.S. markets open in 1 hour 4 minutes

Tesla in talks with Texas county for new assembly plant: Report

Brittany De Lea

Electric automaker Tesla may be moving ahead with plans to expand into the Lone Star state.

According to a report from The Austin American-Statesman on Monday, the automaker is in talks with officials in Travis County, Texas, regarding incentives terms for a potential assembly plant. Discussions are expected to take place Tuesday, though nothing has been disclosed.

Travis County’s largest city is Austin, though it is unclear where exactly the facility would be located.

A spokesperson for Tesla did not immediately return FOX Business’ request for comment.

TESLA'S TEXAS TAXES: ELON MUSK COULD BENEFIT FROM LONE STAR STATE GIGAFACTORY

A spokesperson for the Travis County Commissioners Court also did not return FOX Business’ request for comment.

As noted by the publication, the Travis County Commissioners Court agenda on Tuesday calls for members to act on a project under Chapter 28 of its local county code. Though no further details are given, Chapter 28 generally pertains to economic development incentives.

TESLA'S CORONAVIRUS-DRIVEN MOVE TO TEXAS GAINS TRACTION, GOVERNOR SAYS 'PERFECT FIT'

As previously reported by FOX Business, Tesla CEO Elon Musk was said to have chosen a site near Austin for his next Gigafactory. Musk had been feuding with authorities on California over coronavirus-related restrictions that left him unable to reopen one of his factories – though Alameda County officials ultimately let some operations resume last month.

Musk has threatened to relocate the company’s headquarters.

Texas Gov. Greg Abbott sent out a tweet last month saying Tesla was a perfect fit for the state.

GET FOX BUSINESS ON THE GO BY CLICKING HERE

Meanwhile, Austin is gaining momentum as an emerging technology hub. The city has even been dubbed by some as the new Silicon Valley. Companies that have already set up shop in Austin include AppleAmazonGoogle and Facebook.

Part of the allure is attractive tax incentive programs, including for hiring and relocating. Both of those options offer up to 50 percent property tax reimbursement and up to 3 percent wage reimbursement per job/ per year.

Related Articles