Tesla is disputing reports it is cutting investment in the Gigafactory east of Sparks.
According to the Nikkei Asian Review, Tesla and Panasonic put a freeze on expanding the Gigafactory after the company reported weak sales in the first quarter of this year.
A Tesla spokesperson sent us this statement:
“Both Tesla and Panasonic continue to invest substantial funds into Gigafactory. That said, we do believe there is far more output to be gained from improving existing production equipment than was previously estimated. We are seeing significant gains from upgrading existing lines to increase output, which allows Tesla and Panasonic to achieve the same output with less spent on new equipment purchases.
However, we will of course continue to make new investments in Gigafactory 1, as needed. Most importantly, contrary to what is implied in this report, our demand for cells continues to outpace supply. It remains the fundamental constraint on Tesla vehicle and Powerwall/Powerpack production.”
