Elon Musk says Tesla will stay in California, for now

Tesla CEO Elon Musk says that his electric car company’s headquarters will remain in California for the short term. However, the automaker may move to another state in the future, the CEO added.

“There’s no question that our headquarters will remain in California for the short term,” Musk said during an interview with Automotive News’ Jason Stein. “Long term, we’ll have to wait and see.”

Interestingly enough, Musk indicated in May that there was a chance that Tesla would be moving its headquarters away from Northern California following the area’s response to the COVID-19 pandemic. Tesla’s Fremont production facility remained closed for a month and a half, and Musk was vocal regarding his discontent for the situation.

“Frankly, this is the final straw,” Musk said on Twitter. “Tesla will now move its HQ and future programs to Tesla/Nevada immediately.”

Musk kept his promise somewhat, as the company announced that its next production facility would be located just 15 minutes outside of Austin, Texas.

The company already has a production facility for batteries and powertrains in near Reno in Sparks, Nevada.

Tesla’s headquarters has been located in California since the company’s establishment in 2003. For the most part, Tesla and California’s relationship was keen, and the company has established itself as a significant contributor to the State’s economy. It is the only automaker still based in California.

However, the incident with Fremont rubbed Musk the wrong way. Although the relationship between Tesla and California is better than what it was, there Musk’s response during the interview seems to indicate that he may be leaning toward a move in the future.

Recently, Teslarati reported that many of the company’s executives were asked where they would want to spend time if they were needed in the same area as the new factory. A significant factor in Tesla’s decision to choose Austin was the fact that Tesla’s principal members were more interested in Austin than other Texas cities.

“When talking to key members of the team that would need to move to Austin from California in order to get the factory going, Austin was their top pick to be totally frank,” Musk said. “That was a big factor in choosing Texas and Austin. Specifically Austin. I guess a lot of people from California, if you ask them what’s the one place you’d move outside of California, it’s Austin.”

Musk has also applied for a Texas driver’s license recently and has sold his multiple California estates.

Whether Musk and Tesla will move the operation from California to Texas or not is unknown. Right now, Musk knows that the company has its hands full with building Giga Berlin and Giga Texas, and the short term goals are focused on getting the new facilities built and beginning production of Tesla’s upcoming vehicles on time.

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