Where Is The Next Tesla Gigafactory Located 🤩
7% gain on a reversal play for TSLA. The slide could be linked to the rumour denied by Elon Musk on Saudi Arabia as well as the automakers strike happening right now. ⚠️ Trading tips: looking at calls above 269 and puts under 263.7 on Tuesday.
Saudi Arabia has been wooing Tesla with the right to purchase certain quantities of metals and minerals the company needs for its EVs from countries including the Democratic Republic of Congo, some of the people said.
The Saudis approached the Congolese government in June about securing assets in the country, which supplies around 70% of the world’s cobalt, The Wall Street Journal has reported.
In recent years, Saudi Arabia invested in Lucid Motors, an EV startup that spun out of Tesla, with a deal for the company to build a factory in the country. Now it is apparently going after Tesla, and it wouldn’t be the first time.
The Tesla “take private” debacle of 2018 was initiated after Elon Musk had a meeting with the head of the country’s investment fund. Ultimately, Musk decided not to use Saudi Arabia’s money to take Tesla private and dropped the idea.
Tesla has been using increasingly less cobalt in its batteries in recent years, but the mineral is still valuable for the production of high-energy-density battery cells.
Elon Musk has denied a Wall Street Journal report stating that Tesla is in early discussions with Saudi Arabia about establishing a manufacturing facility. Musk took to X to write, “Yet another utterly false article from WSJ.”
On the other hand, Turkish President Recep Tayyip Erdogan invited Elon Musk to build his next Tesla factory in Turkey, the country’s state media reported Monday.
“Recalling that with the Turkish electric car Togg hitting the roads in Türkiye, Tesla entered the Turkish market, Erdogan called on Tesla to establish its seventh factory in Türkiye,” Turkish state news agency Anadolu reported, citing the country’s communications directorate.
Erdogan and Musk also reportedly discussed cooperation on artificial intelligence and Starlink, SpaceX’s satellite internet service. Musk reportedly expressed interest in obtaining the necessary licensing from Turkey’s government to operate Starlink in the country of 85 million.
Tesla has six factories and is currently building a seventh in Mexico. In May, Musk said he would most likely select a destination for a new factory by year-end. He is reported to have already spoken with Indian government officials about opening a manufacturing facility for low-cost electric vehicles in India.
Now that India, Turkey and Saudi Arabia are queuing to work with Tesla, Elon will take these opportunities to gradually release the welcoming news nearer the next earnings call (mid October) to pump up the stock. Just remember that he may start to sell shares to build new plants once it crosses a certain threshold leaving investors to become bag holders to hold and hope again.
Don't forget to buy the rumours and sell the news ok? You've been warned 😉
Please click Like 👍, Comment 💬 & Repost 🔄 this article found at the bottom of your screen. Follow me for the latest news, trading ideas & strategies to ride the market daily with profits! 🤑
Modify on 2023-09-19 14:36
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.