Report: Tesla in Talks with Saudi Arabia to Build EV Factory

According to a report by the Wall Street Journal, Elon Musk’s Tesla is in early talks with Saudi Arabia to build a new electric vehicle (EV) manufacturing facility. This move is part of Saudi Arabia’s ambitious plan to secure metals needed for electric vehicles and diversify its economy away from oil.

The Saudi sovereign fund had first contacted Musk in early 2017 to express their interest in diversifying away from oil. Musk acknowledged this in a statement posted on the Tesla website, highlighting the importance of moving away from oil and towards sustainable alternatives.

While Musk has previously considered establishing a Tesla factory in India, he has not yet made any concrete plans in that regard. However, the talks with Saudi Arabia indicate that the search for a suitable location for a new facility is still ongoing.

Building an EV manufacturing facility in Saudi Arabia would not only align with the country’s goals of transitioning towards a greener economy, but it would also provide economic benefits such as job creation and the attraction of foreign investment. This move would also contribute to the global shift towards electric vehicles, as Tesla is one of the leading manufacturers in this market.

Further details about the talks between Tesla and Saudi Arabia are yet to be revealed. However, if the discussions prove successful, it could mark a significant development for both Tesla and the Saudi Arabian economy.

– Wall Street Journal