Tesla Sues County; Musk Promises to Pick up Toys, Go Home

Steph Willems
by Steph Willems

California announced late last week that it will allow the cautious reopening of manufacturing operations across the state, but Alameda County resisted, claiming it will keep non-essential businesses shuttered until the end of the month.

Guess which county Tesla’s Fremont assembly plant is located in.

Now guess Tesla CEO Elon Musk’s reaction to the country’s announcement. If you speculated that Tesla might sue Alameda Country, with Musk launching an online tirade in which he promises to move Tesla HQ and all future products out of the state, you’d be right.

“Tesla is filing a lawsuit against Alameda County immediately,” Musk tweeted Saturday, following Alameda County’s announcement of a June 1st reopening. “The unelected & ignorant ‘Interim Health Officer’ of Alameda is acting contrary to the Governor, the President, our Constitutional freedoms & just plain common sense!”

This, after Musk hailed California Governor Gavin Newson’s announcement. After wrangling with county officials, Tesla shut down its operations after other mainstream automakers had already gone dark, with Musk later garnering headlines for his rants about the coronavirus and what he perceived as attacks on civil liberties taken by various levels of government.

San Joaquin County, right next door to Alameda, has been sensible & reasonable, whereas Alameda has been irrational & detached from reality. Our castings foundry and other faculties in San Joaquin have been working 24/7 this entire time with no ill effects. Same with Giga Nevada.

— Elon Musk (@elonmusk) May 9, 2020

Tesla did file a lawsuit against Alameda County in a San Francisco federal court Saturday, with the plaintiff calling the county’s move a “power grab” that was in violation of federal and state constitutions and in defiance of its governor.

Musk then promised to get the hell out of California.

Frankly, this is the final straw. Tesla will now move its HQ and future programs to Texas/Nevada immediately. If we even retain Fremont manufacturing activity at all, it will be dependen on how Tesla is treated in the future. Tesla is the last carmaker left in CA.

— Elon Musk (@elonmusk) May 9, 2020

Before the coronavirus pandemic reached these shores in force, Musk began a search for a second vehicle manufacturing site, with Texas being an early possibility. Musk later announced he as looking for a location in the central United States. Cities like Joplin, Missouri moved quickly to woo the CEO and his promised jobs.

While Tesla’s Fremont site houses the Model S, X, 3, and Y operations, its capacity is maxed out. Future models like the Cybertruck, Semi Truck, and perhaps the delayed Roadster will need to find a new home. Nevada currently handles Tesla’s battery operations.

Musk’s tweets earned backlash from the equally online political sphere, with California Assemblywoman Lorena Gonzales (D) stating “Fuck Elon Musk” in a tweet of her own. Other officials tempered their language.

As reported by The Guardian, Alameda County’s health department issued a statement claiming, “We look forward to coming to an agreement on an appropriate safety plan very soon.”

“It is our collective responsibility to move through the phases of reopening and loosening the restrictions of the shelter-in-place order in the safest way possible, guided by data and science,” it added.

Not everyone is on the anti-Musk bandwagon, with Fremont mayor Lily Mei expressing concern for the area’s economy. “We know many essential businesses have proven they can successfully operate using strict safety and social distancing practices,” she said in a statement.

Speaking to The New York Times, Alameda County’s supervisor for Fremont, Scott Haggerty, said Musk is being impatient.

“We were working on a lot of policies and procedures to help operate that plant and quite frankly, I think Tesla did a pretty good job, and that’s why I had it to the point where on May 18, Tesla would have opened,” Haggerty said. “I know Elon knew that. But he wanted it this week.”

The supervisor said he was in the process of showing county officials that Tesla had sufficient health protocol ready to go when he was threatened with a lawsuit on Thursday.

“It was only a threat, and as an elected official I get threatened all the time,” Haggerty said, adding, “It does at that point slow down conversations between my contact at the plant and myself.”

Tesla soon detailed its position and outlined its health preparations (and recent interactions with the county) in a lengthy blog post.

[Image: Tesla]

Steph Willems
Steph Willems

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  • Master Baiter Master Baiter on May 11, 2020

    I knew Musk would come to regret locating his factory in California, a state openly antagonistic toward business in general. I suspect one reason the paint on Teslas is notoriously bad is that California has outlawed the chemicals needed to make paint effective.

  • Jkross22 Jkross22 on May 11, 2020

    Musk: How can someone so smart so consistently act so dumb? His short sighted, emotional outbursts get co-mingled with trying to dig under LA to alleviate traffic. It's incredible these things come from 1 person. Can Elon's doc up his dose of ritalin?

    • See 5 previous
    • FreedMike FreedMike on May 12, 2020

      @Inside Looking Out There are plenty of billionaires who live in relative anonymity...then we have Musk, who made himself a celebrity and says stupid crap all the time.

  • ChristianWimmer 2018 Mercedes A250 AMG Line (W177) - no issues or unscheduled dealer visits. Regular maintenance at the dealer once a year costs between 400,- Euros (standard service) to 1200,- Euros (major service, new spark plugs, brake pads + TÜV). Had one recall where they had to fix an A/C hose which might become loose. Great car and fun to drive and very economical but also fast. Recently gave it an “Italian tune up” on the Autobahn.
  • Bd2 Lexus is just a higher trim package Toyota. ^^
  • Tassos ONLY consider CIvics or Corollas, in their segment. NO DAMNED Hyundais, Kias, Nissans or esp Mitsus. Not even a Pretend-BMW Mazda. They may look cute but they SUCK.I always recommend Corollas to friends of mine who are not auto enthusiasts, even tho I never owed one, and owned a Civic Hatch 5 speed 1992 for 25 years. MANY follow my advice and are VERY happy. ALmost all are women.friends who believe they are auto enthusiasts would not listen to me anyway, and would never buy a Toyota. They are damned fools, on both counts.
  • Tassos since Oct 2016 I drive a 2007 E320 Bluetec and since April 2017 also a 2008 E320 Bluetec.Now I am in my summer palace deep in the Eurozone until end October and drive the 2008.Changing the considerable oils (10 quarts synthetic) twice cost me 80 and 70 euros. Same changes in the US on the 2007 cost me $219 at the dealers and $120 at Firestone.Changing the air filter cost 30 Euros, with labor, and there are two such filters (engine and cabin), and changing the fuel filter only 50 euros, while in the US they asked for... $400. You can safely bet I declined and told them what to do with their gold-plated filter. And when I changed it in Europe, I looked at the old one and it was clean as a whistle.A set of Continentals tires, installed etc, 300 EurosI can't remember anything else for the 2008. For the 2007, a brand new set of manual rec'd tires at Discount Tire with free rotations for life used up the $500 allowance the dealer gave me when I bought it (tires only had 5000 miles left on them then)So, as you can see, I spent less than even if I owned a Lexus instead, and probably less than all these poor devils here that brag about their alleged low cost Datsun-Mitsus and Hyundai-Kias.And that's THETRUTHABOUTCARS. My Cars,
  • NJRide These are the Q1 Luxury division salesAudi 44,226Acura 30,373BMW 84,475Genesis 14,777Mercedes 66,000Lexus 78,471Infiniti 13,904Volvo 30,000*Tesla (maybe not luxury but relevant): 125,000?Lincoln 24,894Cadillac 35,451So Cadillac is now stuck as a second-tier player with names like Volvo. Even German 3rd wheel Audi is outselling them. Where to gain sales?Surprisingly a decline of Tesla could boost Cadillac EVs. Tesla sort of is now in the old Buick-Mercury upper middle of the market. If lets say the market stays the same, but another 15-20% leave Tesla I could see some going for a Caddy EV or hybrid, but is the division ready to meet them?In terms of the mainstream luxury brands, Lexus is probably a better benchmark than BMW. Lexus is basically doing a modern interpretation of what Cadillac/upscale Olds/Buick used to completely dominate. But Lexus' only downfall is the lack of emotion, something Cadillac at least used to be good at. The Escalade still has far more styling and brand ID than most of Lexus. So match Lexus' quality but out-do them on comfort and styling. Yes a lot of Lexus buyers may be Toyota or import loyal but there are a lot who are former GM buyers who would "come home" for a better product.In fact, that by and large is the Big 3's problem. In the 80s and 90s they would try to win back "import intenders" and this at least slowed the market share erosion. I feel like around 2000 they gave this up and resorted to a ton of gimmicks before the bankruptcies. So they have dropped from 66% to 37% of the market in a quarter century. Sure they have scaled down their presence and for the last 14 years preserved profit. But in the largest, most prosperous market in the world they are not leading. I mean who would think the Koreans could take almost 10% of the market? But they did because they built and structured products people wanted. (I also think the excess reliance on overseas assembly by the Big 3 hurts them vs more import brands building in US). But the domestics should really be at 60% of their home market and the fact that they are not speaks volumes. Cadillac should not be losing 2-1 to Lexus and BMW.
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