Coronavirus: Elon Musk vows to move Tesla factory in lockdown row

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Coronavirus: Elon Musk vows to move Tesla manufacturing unit in lockdown row

  • 10 Might 2020
Elon Musk looks annoyed and gesticulates with his hands Image copyright Getty Pictures
Image caption Elon Musk, the billionaire owner of electrical automotive firm Tesla, is embroiled in a row over reopening its California-based manufacturing unit

Billionaire Tesla boss Elon Musk has stated he will move the electric carmaker's headquarters out of California, after he was ordered to keep its solely US car plant closed.

"Tesla will now transfer its HQ and future packages to Texas/Nevada instantly," the CEO tweeted.

The corporate was filing a lawsuit towards Alameda County, he added.

The county's health department had refused to let the Tesla factory reopen on Friday, citing lockdown measures.

Based on figures from Johns Hopkins University, 2,632 individuals in California have died with coronavirus.

Since 23 March, all but "primary operations" have been suspended at Tesla's Fremont plant, near San Francisco, because of "shelter in place" orders enacted in Alameda County. The manufacturing unit employs greater than 10,000 staff, and makes about 415,000 automobiles yearly.

California's authorities has eased some restrictions around the state this week, permitting companies to renew operations. However a number of Bay Space counties have issued their very own standards for which businesses might reopen, which take priority.

In Alameda, all but important companies should remain shut until the top of Might.

Mr Musk instructed the manufacturing unit's future might now be unsure, tweeting: "If we even retain Fremont manufacturing exercise at all, will probably be dependen[t] on how Tesla is treated in the future."

In a press release released earlier than Mr Musk's tweets, Alameda County stated: "We welcome Tesla's proactive work on a reopening plan, so that when they match the standards to reopen, they will achieve this in a means that protects their staff and the group at giant."

Mr Musk, 48, who welcomed a baby with Canadian singer Grimes earlier this week, wiped $14bn (£11bn) off Tesla's value on 1 May after tweeting that its share worth was too excessive.

He has donated over 1,200 ventilators to hospitals within the US to assist with treating coronavirus sufferers.

The tech billionaire has also poked fun at the mass buying of bathroom paper when the pandemic began. However he has additionally sparked controversy for promoting an unproven remedy for the virus, and for asserting, falsely, that youngsters are "primarily immune".

Mr Musk has regularly voiced his opposition to "fascist" lockdown measures, tweeting "FREE AMERICA NOW" final month.

Tesla has suspended operations at its plant in the Chinese language metropolis of Shanghai, in accordance with Bloomberg. It had beforehand closed the manufacturing unit as a short lived measure when the virus was at its peak in China.

The corporate reported a internet revenue in the first three months of this yr, and its inventory has risen to just about $820 (£669; €756). But analysts anticipate the coronavirus pandemic will adversely have an effect on its earnings in 2020.