Tesla will “strongly consider” building its next gigafactory in Britain, according to its boss Elon Musk.
He said his electric car company was preparing to look for a location to build a new battery factory later this year and would assess England as an option.
Mr Musk was asked about a possible English gigafactory - the term for a massive electric car battery manufacturing plant – last night at the Wall Street Journal’s CEO Council event in London.
He told the audience by video link: “I will strongly consider England for a future location of a gigafactory.
“We are not currently looking at new locations, but we will probably towards the end of this year.”
The entrepreneur's remarks are likely to trigger a fresh round of lobbying by governments around the world to secure any potential investment.
Many benefits
Last night a Department for Business and Trade source said: "We would be delighted to show Elon and Tesla all the many benefits of establishing a gigafactory in this country.
"Importantly, this shows that, with our skills base, infrastructure, and excellent supply chain, the UK remains an attractive destination for advanced industries to locate and grow their businesses.”
A Treasury source said ministers would be “happy to engage with any potential investor to bring industry back to Britain”.
The billionaire chief executive’s remarks come after he previously overlooked Britain to build the company’s first European factory in Berlin, blaming uncertainty around Brexit.
He has also vowed to look at potential investments in France following a recent high-profile meeting with president Emmanuel Macron.
The Telegraph says Mr Musk’s comments suggest a race between London and Paris to secure investment.
Factories
Tesla currently makes vehicles at four main factories in Fremont in California, Austin in Texas, Berlin and Shanghai.
The company is also building a factory in Mexico.
A Tesla gigafactory would likely bring large numbers of jobs to England, and regional mayors have been keen to attract investment from Mr Musk.
Following previous reports that the entrepreneur could consider locations here, Tees Valley mayor Ben Houchen and West Midlands mayor Andy Street both offered to tour Mr Musk around available land that could be used.
Another site has also been put forward in Somerset as a potential location for a battery factory.
Mr Musk visited the UK for three days in 2021, but did not disclose the official reason for doing so.
FTSE 100
The UK's top share index, the FTSE 100, was down 74 points at 7,688 shortly after opening this morning, following yesterday's eight-point loss.
Brent crude futures were 1.03% higher at $77.63 a barrel.
Companies reporting today
- Full-year results: Marks & Spencer, SSE
- Trading update: Aviva, Kingfisher