Gavin Newsom Revealed Elon Musk and Tesla's BIG Trouble when leave California, Warning CLOSE!

2 years ago
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Gavin Newsom Revealed Elon Musk and Tesla's BIG Trouble when leave California, Warning CLOSE!
Musk said that he moved Tesla’s headquarters and future operations out of California amid a dispute with public health officials in Alameda County, where the electric vehicle maker manufactures most of its cars for the U.S. and Europe.
Tesla also sued the county over its coronavirus-related business restrictions, which had limited Tesla’s production. At Musk’s behest, Tesla reopened for production and has been making new cars at its Fremont factory, and was operating in defiance of local health orders for days.
Internal Tesla communications showed that production shifts had fully resumed, minus some temp workers and some of the administrative and other employees who were still able to work remotely, rather than coming into the Fremont factory.
Newsom said he has known Musk for decades and had “great respect and admiration for his innovative spirit.” He argued that California has been a key partner to Tesla as it grew to become the world’s leading player in electric vehicles.
“I think it’s in all our interests to continue to find areas of common ground and that’s, by the way, exactly what we do in the state of California with Tesla,” Newsom said. “And they were accommodated, and they began reopening as manufacturing and logistics and warehousing all across the state has operated and reopened in the last few weeks.”
Tesla Inc.’s move from Silicon Valley to Texas marks the latest blow for California, the electric-car maker’s home since its founding 18 years ago. It joins companies including Oracle Corp., Hewlett Packard Enterprise Co. and Charles Schwab Corp. in relocating their corporate hubs to the cheaper and more tax-friendly Lone Star state in the past two years.
They all are keeping a large presence in California, underscoring the importance of the world’s fifth-largest economy. But the shifts of companies born and bred in the state shows how many of its intractable issues, from the nation’s most expensive housing costs to high taxes and climate catastrophes, pose a threat to continued economic growth if corporate departures multiply.
And losing Tesla — a long-shot, clean-energy startup that upended the auto industry and embodies much of the state’s economy — delivers a particularly symbolic hit.
“Tesla as a brand represents not just Motor City USA, it represents Silicon Valley and Hollywood,” said David McCuan, chairman of Sonoma State University’s political science department. “Tesla is really a California-centric thing. But Elon Musk represents something larger than life, and that’s really Texas.”
Gavin Newsom Revealed Elon Musk and Tesla's BIG Trouble when leave California, Warning CLOSE!

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