Tesla gets hope to reopen Fremont factory quicker as California relaxes quarantine

Tesla has some hope to reopen its Fremont factory sooner than anticipated as California has announced the start of the easing of its quarantine rules.

After defying early shelter-in-place orders in the Bay Area, Tesla was forced to shut down its car factory in Fremont, where it produces most of its vehicles.

It has now been more than a month and based on the latest orders in the region, it didn’t seem like Tesla was going to be able to reopen the plant until the end of May.

Last week, the automaker told furloughed employees to standby until the end of the month.

But now Tesla and its workers get some hope as the Gavin Newsom, Governor of California, announced the next phase of reopening the state:

CA is led by data and SCIENCE.

Based off our progress, we’ll begin to gradually move into Stage 2 this FRIDAY.

Some sectors where there’s a lower risk of transmission will be able to adapt & re-open with modifications.

This will include some retail and manufacturing/logistics.

— Gavin Newsom (@GavinNewsom) May 4, 2020

The plan is still vague and it will be dependent on decisions made at the county level:

“We are not telling locals that believe it’s too soon, too fast to modify. We believe those local communities that have separate timelines should be afforded the capacity to advance those timelines.”

The Governor cited the Bay Area’s “stricter guidelines,” which Tesla has to follow.

Newsom added:

What DOES this include?
Places like:
– clothing stores
– florists
– bookstores
– sporting goods stores

All with curbside pick-up.

What does this NOT include at this time?
Places like:
– Offices (can continue telework)
– Restaurants (seated dining)
– Shopping Malls

— Gavin Newsom (@GavinNewsom) May 4, 2020

For now, it might be that only manufacturers who supply some of those businesses might be able to open, which might not include Tesla who happens to be the biggest manufacturing employer in the state.

But the fact that he mentioned reopening “manufacturing/logistics” as soon as Friday gives hope that Tesla could reopen Fremont factory sooner than by the end of the month.

During Tesla’s conference call following its Q1 financial results, Tesla CFO Zach Kirkhorn said that Tesla would reopen Fremont factory as soon as possible:

“In Fremont, we’re working towards restarting production as soon as that’s possible.”

In the same call, CEO Elon Musk went on a rant claiming that the state stay-at-home orders are fascist and impede on people’s freedom. He urged politicians to stop the quarantines as soon as possible.