Tesla steals headlines again over reopening controversy and Gigafactory location

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Recently, Tesla has started up their California operations with a dire need to start rolling out more inventory as the pandemic digs in.  Tesla has not been operating its California Gigafactory since mid-March due to the coronavirus.  As orders begin to build up, Tesla needs to stay ahead but the true benchmark of future sales will be based on Chinese orders.

Is the Cybertruck real?

It is rumored that the Cybertruck will be smaller than the concept and have a well-defined payload bed area which would instead replace the hatch style in the concept.  This change would be welcomed by those intending to use the Cybertruck for work purposes as the current hatch style could impede access.  The hatch is fully removable as we understand but the ability to enclose the rear seating area may bode well for Tesla. 

tesla truck

Why is the Cybertruck so cheap?

The materials used to give the industrial and tough look also benefit economics.  Many of the steel or aluminum sheets give the truck the stealthy look but also don’t require a lot of manual manipulation or molding to fit the truck.  On top of this, battery and motor technology that is used in other models will also help to keep the costs down.  Tesla will recruit a loyal following but cutting out competition who prices their truck models much higher.  

Where will Cybertruck be built?

It has come down to two cities, both Tulsa, Ok and Austin, TX have been selected as the finalists as revealed by a press release on May 15, 2020.  Tesla has long been searching for a US-based location which will not be impacted by government closure orders and is focused on economic development.  It would not be surprising is tax benefits and other state government incentives lured some of Tesla’s other manufacturing to the new Gigafactory.  We estimate that migration within the country will also take place to gather a large labor pool of highly skilled workers for Tesla to select from. 

How do you get a Tesla Cybertruck?

Orders are now open for the Cybertruck and starting prices are marked at $39,000.  There is a portal for orders or use the helpful live chat service that Tesla has to get more information.  Deliveries are expected to rollout around mid-late 2021 which may create a tight timeline given that the Gigafactory location hasn’t been finalized.  Once open, it is suspected that Tesla will ramp up rapidly and the economy will be helped greatly by this in both job creation and consumer spending.  The only potential delay in the Cybertruck release could be the sourcing of key parts needed if Tesla has not already positioned itself to deal with backorders and short supply. 

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