Tesla's Next Move

[Clprenz]

I believe that Tesla needs to always be looking forward towards expansion, and when opportunities present themselves- they should take them. Our local manufacturing facility, Mitsubishi Motors North America announced it is closing it's doors next spring. I believe this could be a prime acquisition for Tesla!
Here is a post I wrote in medium. Let me know what you think or if you have any tips or suggestions.
Tesla's Next Move

Thanks,
Christian

 

[techmaven]

Unfortunately, I don't see them expanding in the United States as their next move. As the Fremont plant hits capacity, it makes far more sense for them to open up factories in Europe, letting the Tilburg facility do more and more as well as have production facilities in Asia. It makes more sense to have production closer to where you sell things if possible. For example, it makes a lot of sense to have a battery pack production line and Tesla Energy production line in Asia to take the output of the Panasonic plants in Osaka, Japan and avoid the shipping to the U.S. and back.

The only reason to expand automotive production in the U.S. is when the production facilities in the U.S. are topped out for North American deliveries. That's basically saying that Tesla is selling more than say, 300,000 to 400,000 vehicles in North America alone and they see the need to expand before they hit 500,000. Then it makes sense. We're probably talking closer to 2025, certainly beyond 2020.

 

[DaveT]

I believe that Tesla needs to always be looking forward towards expansion, and when opportunities present themselves- they should take them. Our local manufacturing facility, Mitsubishi Motors North America announced it is closing it's doors next spring. I believe this could be a prime acquisition for Tesla!
Here is a post I wrote in medium. Let me know what you think or if you have any tips or suggestions.
Tesla's Next Move

Thanks,
Christian

In your article, you say "Mitsubishi is actively looking for a buyer and is said to sell the factory for as little as $15 million".

Where are you getting this?

 

[Clprenz]

In your article, you say "Mitsubishi is actively looking for a buyer and is said to sell the factory for as little as $15 million".

Where are you getting this?

I've spoken directly with our economic development council. Thanks

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Unfortunately, I don't see them expanding in the United States as their next move. As the Fremont plant hits capacity, it makes far more sense for them to open up factories in Europe, letting the Tilburg facility do more and more as well as have production facilities in Asia. It makes more sense to have production closer to where you sell things if possible. For example, it makes a lot of sense to have a battery pack production line and Tesla Energy production line in Asia to take the output of the Panasonic plants in Osaka, Japan and avoid the shipping to the U.S. and back.

The only reason to expand automotive production in the U.S. is when the production facilities in the U.S. are topped out for North American deliveries. That's basically saying that Tesla is selling more than say, 300,000 to 400,000 vehicles in North America alone and they see the need to expand before they hit 500,000. Then it makes sense. We're probably talking closer to 2025, certainly beyond 2020.

While I agree, I think that the price of the factory would persuade them. Having a factory closer to the east coast, as well as the ports to Europe (Chicago) would certainly cut costs significantly. building a factory somewhere could cost them billions, buying used with a ready workforce(as long as the union is cut out) could be extremely advantageous to Tesla

 

[voyager]

In your article, you say "Mitsubishi is actively looking for a buyer and is said to sell the factory for as little as $15 million".

Where are you getting this?

This is what's soooo great about the internet and internet fora: the exchange of information. Do you know what money Mitsubishi sold its NedCar factory in the Netherlands for, as sales in the EU were dramatically poor? NedCar is now being used by a Dutch firm that does contract assembly for BMW. The amount was 1 euro. Mitsubishi was that desperate to get rid of the plant.