Tesla is relocating its headquarters from Palo Alto, California, to Austin, Texas, CEO Elon Musk announced Thursday during Tesla’s annual meeting with shareholders.
“I’m excited to announce we are moving our headquarters to Austin, Texas,” Musk, who previously stated his intentions to leave California. said at the meeting. In 2020, Musk announced that the Austin area would be the site of its newest and largest auto assembly factory. The plant was expected to bring 5000 jobs to the area, KXAN reported. The new plant was being built in Travis County and was expected to receive more than $60 million in tax breaks from municipalities in the county. (RELATED: Elon Musk Joins Mass California Exodus, Moves To Texas)
The auto company has made a dedicated effort to increase hiring for the factory. Tesla posted hundreds of job openings at the factory, KXAN reported. In October, the automaker ramped up hiring for the factory, posting hundreds of available jobs.
Tesla chief Elon Musk told investors on Thursday that the leading electric vehicle maker is moving its headquarters from Silicon Valley to Texas.https://t.co/Tk5rdMRlRe
— AFP News Agency (@AFP) October 7, 2021
“Our factory is five minutes from the airport, 15 minutes from downtown, and we’re going to create an ecological paradise, because we’re right on the Colorado River. It’s going to be great,” Musk said Thursday.
Yet, while Tesla’s headquarters will be relocating, the company will still have a significant presence in California. Tesla plans to increase its output by 50% from its factory located in Fremont, California, Business Insider reported.
“To be clear though, we will be continuing to expand our activities in California,” he said. “So this is not a matter of Tesla leaving California.”