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Tesla applies for Giga Texas to be a foreign trade zone

Credit: Tesla

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Tesla is seeking to have its Giga Texas production facility recognized as a foreign trade zone for tax reasons. If approved by Travis County, Texas commissioners and the Federal Trade Zones Board, Tesla will save $270,000 per year in all jurisdictions.

The request from Tesla was discussed during a February 23rd meeting with the Travis County Commission, who supported the effort by approving a non-objection letter with the automaker’s application. Ultimately, the vote of support from local authorities bodes well for Tesla, who plans to begin production at the new Texas facility later this year.

According to the International Trade Administration website, the advantages of being designated as a foreign trade zone include duty exemptions that will eliminate charges on re-exports, duty deferral where federal excise taxes are deferred on imports, and logistical benefits, among others.

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Tesla received a killer deal for Giga Texas

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Tesla is set to save money if Giga Texas is ultimately designated as a Foreign Trade Zone.

The Austin Business Journal writes:

“Through the program, imported inventory and inventory held for export in the foreign trade zone would be exempt from ad valorem tax. The designation could save Tesla $270,000 a year across all taxing jurisdictions, including $53,000 on Travis County taxes, according to county documents.”

Tesla CEO Elon Musk announced that the automaker’s newest facility within the United States would be located in Austin during the Q2 2020 Earnings Call. After beating out Tulsa, Oklahoma, Austin became the place where many of Tesla’s executives, Musk included, move. However, contrary to popular belief, the company’s headquarters still remain in Palo Alto, California, with its main production facility still operating in Fremont, California.

Tesla plans to open several new production facilities this year. Along with the Texas plant, Tesla will also begin production at its first European Gigafactory, known as Giga Berlin, later this year. The company also has intentions of beginning operations in India, as documents released early in 2021 showed the company had applied for several business licenses in the country. These were approved, and Tesla is making preliminary steps to get things in motion.

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Giga Texas will be responsible for the production of the Tesla Cybertruck, along with Model 3 and Model Y production at for customers located in the Eastern half of North America. The plant is expected to create around 15,000 new jobs in Austin and the surrounding areas, providing a stable employment for those affected by the COVID-19 pandemic.

Joey has been a journalist covering electric mobility at TESLARATI since August 2019. In his spare time, Joey is playing golf, watching MMA, or cheering on any of his favorite sports teams, including the Baltimore Ravens and Orioles, Miami Heat, Washington Capitals, and Penn State Nittany Lions. You can get in touch with joey at joey@teslarati.com. He is also on X @KlenderJoey. If you're looking for great Tesla accessories, check out shop.teslarati.com

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Tesla Semi earns strong reviews from veteran truckers

The real-world tests offered a closer look at how the Tesla Semi performs outside of the electric vehicle maker’s own demos.

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Credit: Tesla Semi/X

The Tesla Semi has earned favorable reviews from experienced truck drivers after being put through real-world testing. This was highlighted in a Run on Less by NACFE video, which documented Saia freight drivers operating the Class 8 all-electric big rig across standard routes.

The real-world tests offered a closer look at how the Tesla Semi performs outside of the electric vehicle maker’s own demos.

Veteran drivers highlight Semi’s usability

Tom Sterba, a senior driver with Saia, praised the Semi’s technology as a major step forward for the industry. “The navigation systems in these trucks are just unbelievable. That’s what I love about it,” he said.

In a moment that has since been widely shared, Sterba added, “I do not want to go back to a gas truck. I hope I retire in this vehicle.”

Another senior driver, Michael Davis, stated that he volunteered immediately when the Tesla Semi became available. He noted that the truck has not disappointed him, especially since it is a very powerful vehicle.

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“I wanted to drive something new, so I wanted to drive that Tesla truck, and it did not disappoint at all. I experienced no problems with the powertrain. It’s total power,” Davis said.

Tesla Semi momentum is building

Tesla’s push with the Semi comes as the company pushes to complete its dedicated factory for the vehicle near Giga Nevada. Tesla expects to start producing the first Semi units from its dedicated Nevada factory this year, with a production ramp up being expected sometime next year.

Tesla expects to produce 50,000 units of the Semi per year from its Nevada facility, which should make it one of the country’s high-volume semi truck factories, The Cool Down reported. The potential benefits for the Tesla Semi are significant. Beyond lowering emissions, the Semi can also reduce the maintenance costs for operators, while also delivering operational savings over time.

Check out Run on Less’ video on the Tesla Semi in the video below.

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SpaceX aces Starship test flight 10 with successful payload deployment

The mission began at 6:30 p.m. local time in Starbase, Texas, when the launch of Starship initiated. After about eight minutes, stage separation was completed, and the Super Heavy Booster headed back down to Earth for a planned splashdown in the Indian Ocean:

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Credit: SpaceX

SpaceX aced its tenth Starship test flight on Tuesday night after multiple delays pushed the mission back to this evening. Originally scheduled for Sunday night, SpaceX had two delays push the flight back to Tuesday, which ultimately provided ideal conditions for a launch attempt.

The tenth test flight of Starship had several objectives, including a successful splashdown of the booster in the Gulf of America, the deployment of eight Starlink simulation modules from the PEZ dispenser, and a splashdown of the ship in the Indian Ocean.

SpaceX Starship Flight 10: What to expect

SpaceX successfully achieved all three of these objectives, making it one of the most successful test flights in the Starship program. There was no attempt to catch the booster this evening, as the company had been transparent about it ahead of the launch.

The mission began at 6:30 p.m. local time in Starbase, Texas, when the launch of Starship initiated. After about eight minutes, stage separation was completed, and the Super Heavy Booster headed back down to Earth for a planned splashdown in the Indian Ocean:

Starship was then the main focus of the rest of the broadcast as it completed its ascent burn and coasted through space, providing viewers with spectacular views as the mission headed toward new territory, including the deployment of Starlink simulators. This would be the first time SpaceX would attempt a payload deployment.

The deployment works like a PEZ dispenser, as the simulators were stacked on top of one another and would exit through a small slit one at a time.

This occurred roughly 20 minutes into the mission:

An hour and six minutes into the flight, Starship reached its final destination, which was the Indian Ocean. A successful splashdown would bring closure to Starship’s tenth test flight, marking the fifth time a test flight in the program’s history did not end with vehicle loss.

It was also the first of four test flights this year that will end with Starship being recovered.

SpaceX is expected to launch Starship again in approximately eight weeks, pending the collection of data and other key metrics from this flight.

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WATCH: SpaceX attempts Starship’s tenth test flight after two delays

This evening, SpaceX has already stated that conditions appear to be approximately 45 percent favorable for launch. This is ten percent less than last night, when the mission was eventually scrapped around 7 p.m. local time.

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Credit: SpaceX

SpaceX is set to launch Starship tonight, provided the weather cooperates and everything with the ship goes smoothly.

This is SpaceX’s third attempt to launch Starship for its tenth test flight, with Sunday’s and Monday’s attempts both being scrapped due to a leak and unfavorable weather conditions on the respective days.

This evening, SpaceX has already stated that conditions appear to be approximately 45 percent favorable for launch. This is ten percent less than last night, when the mission was eventually scrapped around 7 p.m. local time.

SpaceX Starship Flight 10: What to expect

Propellant load of the upper stage and Super Heavy booster is already underway, and the launch is expected to occur at 6:30 p.m. in Starbase, Texas.

You can watch the tenth test flight of Starship below via SpaceX:

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