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Will Tesla buy any of the GM plants?

gilscales

Active Member
Jul 16, 2016
1,684
1,897
Long Beach, CA
Just wondering if it makes sense for Tesla to make a move on any of the GM plants that will be closing in the next year or given everything they have learned is it cheaper to build from scratch?
 

vjason

Member
Sep 15, 2015
380
358
Raleigh, NC
I would think that having an existing building alone saves you cash and time, assuming it doesn't need too many improvements to get it ready.

Construction costs tend to go nowhere but up, and getting permits/studies to build takes time. Plus the GM factories are likely in desirable areas for manufacturing (for reasons both infrastructure and trained worker related).

Excluding massive subsidy offers, why spend 6-9 months just figuring out where to build when a suitable building may be available soon?
 

Matt L

Active Member
Jul 20, 2018
1,050
1,446
OK USA
Just wondering if it makes sense for Tesla to make a move on any of the GM plants that will be closing in the next year or given everything they have learned is it cheaper to build from scratch?
UAW and Musk would never be able to coexist. You think anyone in those plants were working over Turkey day?
 
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RedModel3

Member
Feb 19, 2016
380
397
United States
I'm a union member, and it certainly has its ups and downs. But don't forget, it was because of unions that we have 8 hour days and 5 day work weeks.

That being said, you also have to look at the laws in the states where the factories are. In Tennessee, we are a "Right to work" (for less) state. If there is no requirement to use union workers, then Tesla can hire anyone it wants.
 

Lasttoy

Active Member
Mar 24, 2017
1,564
834
St Augustine, Fl
Never logistics will not work.
Must be near battery factory and calf supply chain.
UAW is another problem, unless workers sign agreement not to unionize.
 

voip-ninja

Give me some sugar baby
Mar 15, 2012
4,121
4,691
Colorado
Just wondering if it makes sense for Tesla to make a move on any of the GM plants that will be closing in the next year or given everything they have learned is it cheaper to build from scratch?

I doubt that they will since these plants are in UAW strongholds, Tesla does not want to deal with the union.
 

dsvick

Closed
Jun 10, 2016
2,198
2,214
NE Ohio
I doubt that they will since these plants are in UAW strongholds, Tesla does not want to deal with the union.
I keep wanting to say "But, won't the workers realize it's better to have non-union job than no job at all?" Unfortunately, my mind keeps balking .... Also, the unions who are so eager to say "We're here for the workers" would probably be the first ones to kill any sort of deal that would help the workers but exclude the union.
 
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voip-ninja

Give me some sugar baby
Mar 15, 2012
4,121
4,691
Colorado
I keep wanting to say "But, won't the workers realize it's better to have non-union job than no job at all?" Unfortunately, my mind keeps balking .... Also, the unions who are so eager to say "We're here for the workers" would probably be the first ones to kill any sort of deal that would help the workers but exclude the union.

Most of the benefits that salaried employees now enjoy stem from the activities of labor unions in the early to mid 20th century. I can recognize this while simultaneously realizing that the unions have outlived their usefulness for the most part.

I was briefly in a union job in my early 20s. The union cared far more about protecting the jobs of the slackers who didn't want to do anything than they did about incentivizing employees to help the company succeed. It didn't used to be that way. It used to be that workers recognized that they needed the company as much as the company needed them and they would roll their sleeves up and bust ass to get things done... symbiotic relationship. They just wanted a fair shake.

Fun fact. At my union job, in the union handbook was a whole list of things the company had to pay for per the union contract. The company had to pay for things like hairpieces and wigs. Good times.
 

Twiglett

Single pedal driver
Oct 3, 2014
2,734
2,659
Austin
There seem to be more downsides for Tesla than upsides.
Also, two of those factories are in Michigan aren't they?
Regardless of corrupt unions they have corrupt state government to cope with, not sure why they need to go there.
 

voip-ninja

Give me some sugar baby
Mar 15, 2012
4,121
4,691
Colorado
There seem to be more downsides for Tesla than upsides.
Also, two of those factories are in Michigan aren't they?
Regardless of corrupt unions they have corrupt state government to cope with, not sure why they need to go there.

I'm not sure how less corrupt California is... but even though UAW has little presence in CA it hasn't stopped them from being a thorn in Tesla's side, trying to organize work stoppages, etc.
 

lotusland

Member
Jun 30, 2011
286
336
Can't imagine Tesla supporting a Trump stronghold like Ohio. Despite Musk's public statements about Trump, republicans in general are against pretty much everything Musk is working towards. Why reward bad behavior?
 

Big Dog

Active Member
Mar 7, 2016
1,502
1,500
Irvine, CA
the plant in Canada has the highest production cost in North America, so that is a non-starter.

The plants in MI and OH can be retooled by GM to produce trucks/SUVs, so those plants may not be on the block long term.
 

Nocturnal

Supporting Member
Aug 23, 2018
6,054
30,078
In the middle
Tesla is already building what is either the Semi or Model Y factory. I don't think they have an immediate need. Also, IIRC, the GM plants are technically only temporarily shut down (not for sale).
 

Dan Detweiler

Active Member
Apr 21, 2016
3,005
12,474
Canton, Georgia
Just found out that Michigan has "right to work" laws, so there is no requirement to use UAW workers.
I think it would be a public relations nightmare if they were to buy the Hamtramck factory for example and then not staff it with Hamtramck workers...or at least a lot of them. Plus, as has been stated it really doesn't make a lot of sense to have your battery manufacturing so far from your assembly plant.

Dan
 

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