Tesla Model 3

Tesla Model 3

Tesla's Fremont factory will need some significant upgrades/alterations to produce the upcoming Model 3.

We've now learned that the factory will require an investment of at least $1.26 billion as part of an expansion plan set forth by Tesla Motors.

News of this investment comes via a Reuters article focused on tax breaks in the state of California. On the topic of Tesla, Reuters stated:

"Tesla has received millions of dollars in state incentives, mostly recently a $39 million break on sales tax tied to its $463 million expansion of the Fremont plant to boost production of the Model S and Model X. State records show the company also has applied for a $106 million tax break on a planned $1.26 billion expansion of Fremont to build the new Model 3 sedan."

Tax breaks are common in the auto industry, so the $106 million Tesla is seeking is not news to us, but the cost of expansion is of interest.

Source: Reuters

Got a tip for us? Email: tips@insideevs.com