Tesla is reportedly in discussions with the regional government of Valencia to build a Gigafactory in Spain. Sources close to the discussions revealed that the total investment for this project could exceed €4.5 billion (US$4.8 billion/C$6.5 billion).
Tesla already has four vehicle Gigafactories around the world in the US, Germany, and Shanghai, with already announced plans to add another in Mexico. However, Tesla is not stopping there and with plans to build 20 million cars per year by the end of the decade, CEO Elon Musk has already said his company will probably announce the location for its next Gigafactory by the end of the year, and it looks like a leading candidate is Spain.
According to a report from Spanish newspaper Cinco Dias, a spokesman for Valencia’s regional government confirmed that meetings and conversations about a “large automobile investment” have taken place, and that the discussions “are very advanced.” Another article published by Levante-EMV newspaper said the specific name of the company involved was not mentioned, but that Tesla was among the companies engaged in discussions with the Valencian government regarding a potential investment in the region.
The reports state the investment could be as much as €4.5 billion, but that the amount could also be “significantly higher,” and greater than what Volkswagen is planning to spend to build its battery factory in the county. Volkswagen has already started construction on its €3 billion battery factory situated in the nearby town of Sagunto, within the Valencia area.
