Elon Musk, Tesla CEO, is finally moving the electric car company from California to Texas.
Musk announced at its annual shareholder meeting in Austin that the EV company will move its headquarters to Texas. The transition is expected to occur once the factory has been built.
He exclaimed, "I'm thrilled to announce that we're moving to Austin, Texas," to cheers.
Since the early 2000s Tesla's headquarters has been located in Palo Alto in California, in Silicon Valley. However, its main production facility can be found in Fremont, California.
Musk promised shareholders and employees that Fremont's operations would continue, and that vehicle production would rise as high as 50% in the future.
He stated, "This isn’t a matter Tesla leaving California," and that Model X/S production would continue at Fremont.
Musk stated that Fremont's factory was "clogged" and that employees have difficulty affording housing in the Bay Area.
The final production site for the Cybertruck, which has been delayed, will be at Gigafactory Austin. It is expected that the new plant will be completed by the end this year, with car production beginning in 2022.
Musk spends a lot time in Texas due to his rocket company SpaceX. He claims that Tesla is currently building an "ecological paradisia" on the Texas campus.
Musk had threatened to leave the state with his company due to pandemic restrictions that prevented the Tesla Fremont factory from being closed. It's now official.
Musk's announcement can be viewed at the 1 hour mark.
