Elon Musk announced that Tesla Fremont factory has produced its 2 millionth electric car with the help of Gigafactory Nevada.
Fremont factory used to be operated by Toyota and GM before they sold it to Tesla in 2010.
Tesla couldn’t pass on the deal because of the terms, which consisted of Toyota investing $50 million in Tesla and the latter giving back $42 million to the former for the factory. Tesla basically ended up with a factory and $8 million to invest in it.
It wasn’t easy. After years of headaches, sweat, and literally unfortunately some blood, Tesla eventually managed to ramp up production of electric vehicles at the factory, where it produces its entire lineup: Model 3, Model Y, Model S, and Model X.
Earlier this year, Tesla Fremont Factory even became the most productive car factory in the US.
Last month, we reported that Tesla now produces more cars at Fremont factory than when it was operated by GM and Toyota.
Today, CEO Elon Musk announced that Tesla has just produced its 2 millionth electric car:
Musk also congratulated Gigafactory Nevada because while Fremont factory is where the vehicles are being assembled, the factory wouldn’t be able to produce as many electric vehicles if it wasn’t for the drive unit and battery pack supply from the Nevada factory.
Tesla put together a deal with Panasonic to build battery cells under the same roof where it builds battery packs on an extremely large scale, which became Gigafactory Nevada.
The automaker sends those battery packs to Fremont factory, enabling the plant to produce over half a million vehicles per year.
Tesla has been recently investing in ramping up production at the factory, and it is expected to update its production rate tomorrow with the earnings results.
Tesla currently reports the production of 100,000 Model S and Model X vehicles and 500,000 Model 3 and Model Y vehicles per year.
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