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Tesla Adds Warehouses In Lathrop, California, To Relieve Pressure At Its Fremont Factory

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Published on November 27th, 2018 |

by Kyle Field

Tesla Adds Warehouses In Lathrop, California, To Relieve Pressure At Its Fremont Factory

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November 27th, 2018 by Kyle Field

New Video Highlights Progress At Tesla’s New Facility In Lathrop, California

Tesla has continued its ongoing expansion with the construction of its new Distribution Center in Lathrop, California. The facility sits just over 50 miles from its Fremont factory.

The company originally moved into Lathrop back in 2014 as it fleshed out plans for the then-new Model X. It is now working to expand its footprint in the city to accommodate the surge in volume required for Model 3.

Tesla’s 10K filing with the SEC from 2017 noted that, “We manufacture our vehicles, and certain parts and components that are critical to our intellectual property and quality standards, at the Tesla Factory and our manufacturing facility in Lathrop, CA.” It went on to list 4 warehouse and manufacturing locations in the city, totaling nearly 1.4 million square feet of floor space.

A new YouTube video that was posted on Reddit (featured above) shows that Tesla continues to push into the small city with the construction of another massive facility. The sheer size of the new facility has many speculating that it will come online as a distribution center that will allow Tesla to offload some of the more space-intensive delivery preparation work away from its Fremont manufacturing plant.

As Tesla’s near-term production target of 6,000 Model 3s per week stacks on top of its existing base of 100,000 Model S and X per year, Tesla is pulling out all the stops to roll as many cars as possible through its Fremont factory. Actually, 412,000 vehicles per year is already more than Tesla thought it would produce from the factory, and it now has plans to continue to ramp up Model 3 production to a target rate of perhaps even 10,000 Model 3s per week!

Cramming the production of more than 600,000 vehicles per year into the Fremont factory is going to require a bit of ingenuity, but that’s just business as usual for Tesla, which has built its business on challenging the status quo and redefining normal — one day, one innovation at a time.

Tesla has not announced the North American manufacturing location for its yet to be unveiled electric CUV, the Model Y, but it has admitted that it will need another production facility since Fremont is already bursting at the seams. It recently broke ground on its third full-scale manufacturing facility, dubbed Gigafactory 3, in Shanghai, China — its first production facility in Asia — where it will produce the Model 3 and the Model Y when production begins in 2020.

Though, in the midst of the international expansion, it has largely been ignored that back in Lathrop, California, Tesla continues to ramp up its operations. Dozens of logistics, administrative, and metal-working jobs have been posted in the greater Lathrop region by the California company.

Source: YouTube via Reddit

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About the Author

Kyle Field I'm a tech geek passionately in search of actionable ways to reduce the negative impact my life has on the planet, save money and reduce stress. Live intentionally, make conscious decisions, love more, act responsibly, play. The more you know, the less you need. TSLA investor. Tesla referral code: http://ts.la/kyle623

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AFL-CIO worries GM job cuts are a ‘smokescreen for offshoring’

AFL-CIO’s policy director on General Motor’s decision to lay off thousands
4 Hours Ago | 05:13

The AFL-CIO labor union is worried that General Motors' decision this week to halt production at several factories and cut thousands of jobs in the U.S. could be a pretext for sending work outside the country where labor costs are significantly cheaper.

“This situation is really about whether or not GM is going to put new work into these plants or whether this is a smoke screen for offshoring work,” AFL-CIO policy director, Damon Silvers said on CNBC's Power Lunch.

GM was not immediately available for comment. The automaker said Monday it will begin phasing out the production of several vehicles at a number of factories in the United States and Canada.

GM has said it is cutting production of these vehicles in part because they are slow-selling, but Silvers said GM recently decided to start making the Chevrolet Blazer SUV in Mexico, rather than the plant in Lordstown, Ohio that it plans to wind down.

GM has a “particularly bad history” compared with Ford and Chrysler of looking to move jobs off shore he said.

Successful auto companies worldwide pay decent wages and benefits to high-skilled workers, Silvers said.

“The bottom feeders do things like exploit $2-an-hour wages, which is what GM pays in some of its factories in Mexico,” he said. “What we want them to do is to be in a first tier strategy that really takes advantage of the skills and capacity … of America's workers and America's communities.”

BMW chief says considering second U.S. manufacturing plant

FILE PHOTO – A car with the BMW logo badge is seen on display at the North American International Auto Show in Detroit, Michigan, U.S., January 16, 2018. REUTERS/Jonathan Ernst LOS ANGELES (Reuters) – BMW (BMWG.DE) is considering a second U.S. manufacturing plant that could produce engines and transmissions, Chief Executive Harald Krueger said on… Continue reading BMW chief says considering second U.S. manufacturing plant

Race for Tesla plant heats up as four northern towns join forces

Four towns in the northern Netherlands – Hardenberg, Emmen, Coevorden and Hoogeveen – have joined forces in an effort to attract a new Tesla car production plant.Hardenberg mayor Peter Snijders told the Financieele Dagblad that neighbouring German towns may also join the group which has raised €12m for the campaign.
However there is a lot of competition for the car plant. Groningen is preparing a bid book for the venture, while Tilburg in the south is interested in having Tesla build a battery plant for the plug-in car there.
Tesla already has an assembly plant in Tilburg which is a centre for car components manufacture. And VDL Nedcar in Limburg is also seeking partnership with Tesla, the FD says.
Eastern Europe
There is heavy compeition throughout Europe for a long-awaited Tesla plant. Ferdinand Dudenhöffer of CAR-Center Automotive Research in Duisburg Germany argues that eastern Europe has the most to offer the California-based car maker. ‘Germany has the highest energy prices in the world and southern Europe has very rigid labour laws,’ he said
Dudenhöffer reckons eastern Europe has the best chance of attracting Tesla. The region has low energy costs, low corporation tax and low labour costs, the Financieele Dagblad quoted him as saying.

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The building blocks for the future of the BMW Group. The BMW Vision iNEXT celebrates its world premiere in Los Angeles.

Munich. The BMW Vision iNEXT provides an insight into the future of personal mobility. The latest Vision Vehicle from the BMW Group symbolises the dawn of a new era in driving pleasure – and is celebrating its world premiere at the Los Angeles Auto Show. Far more than a vehicle alone, the BMW Vision iNEXT… Continue reading The building blocks for the future of the BMW Group. The BMW Vision iNEXT celebrates its world premiere in Los Angeles.

New York Holiday Route Update

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Rivian Launches World’s First Electric Adventure Vehicles™

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