Tesla wants to build a car factory in Valencia

Tesla, the North American manufacturer of electric cars, is negotiating with Generalitat Valenciana to build an electric car factory in the Valencia metropolitan area, in an investment that could amount to more than 4.5 billion euros, according to El Economist reports.

The Valencian newspaper Levante-LMF had already reported yesterday that the auto giant was interested in entering into an agreement with the Valencian community to open a factory in that Spanish city, but the name was only revealed today. If it pays off, this will be Tesla’s seventh factory in the world and the second in Europe (it already has a factory in Berlin).

After Tesla’s name was submitted, Generalitat issued a memo explaining that the agreement had not yet closed. “Generalitat denies the existence of a closed-door agreement with the multinational corporation Tesla,” reads the note quoted by El Economista. Nor did it confirm “the various information that has emerged in this regard.”

The statement also guarantees that “the will of the Valencian government is to continue working during its current mandate so that all negotiations can be completed in the coming months,” referring to the projects of 12 multinational companies that intend to settle in Valencian society.

Among them are some of the automotive sector on the horizon. The Volkswagen battery plant will start operating in 2026 in the region, while the Ford plant will begin assembling electric cars in the middle of the decade.