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Tesla reportedly ‘in very advanced’ negotiations for $4.8 billion Gigafactory in Spain

Credit: @TacosandTeslas/Twitter

Tesla is reportedly negotiating the construction of a new, massive €4.5 billion ($4.8 billion) Gigafactory in the metro area of Valencia, Spain, according to reports from Spanish media sources.

Tesla is already planning to expand its manufacturing footprint past its current factories in the United States, China, and Europe with an already-announced factory in Mexico. However, CEO Elon Musk announced earlier this year that the automaker would likely announce the location of another plant before the end of 2023.

With heavy links to countries like Canada, India, and France, Spain has now entered the mix, according to a report from Spain’s Cinco Días (via Reuters).

The publication reports “that a multinational would invest more the 4,500 million euros” in a new manufacturing facility in the area. While the initial report, which was written by Levante-EMV newspaper in Spain, notes the company was not explicitly named, Tesla was “one of several multinationals with which the Valencian government was in dialogue to land in the region.”

There are reportedly ten large companies that are in the midst of settling in the region, and talks “are very advanced” as of yesterday, June 7.

Initial reports also indicate the €4.5 billion amount could be “significantly higher” and that the investment will be large than Volkswagen’s €3 billion investment in a 40 GWh battery production gigafactory.

The region’s automobile sector is unaware of the talks, but Francisco Segura, President of the Valencian automotive cluster, said, “If an investment of this magnitude is confirmed, the sector will be at the disposal of the company that has chosen the Valencian Community for its destination.”

Many regions have fought for Tesla’s attention and business, so it is no surprise the Valencian officials are potentially welcoming the company with open arms

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Tesla reportedly ‘in very advanced’ negotiations for $4.8 billion Gigafactory in Spain
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