Chinese-backed electric carmaker picks Nevada for $1B plant
Source: AP
By MICHELLE RINDELS and JUSTIN PRITCHARD
CARSON CITY, Nev. (AP) A Chinese-backed electric car company with visions of revolutionizing transportation but no product to show yet announced plans Wednesday to build a $1 billion plant near Las Vegas, marking the second time in just over a year that Nevada has landed a coveted project from the budding industry.
California-based automaker Faraday Future's choice of Nevada over three other states is contingent on state lawmakers' approval of tax incentives that haven't been publicly described. The company's announcement, in a letter to Nevada legislators that was obtained by The Associated Press, also came with the revelation that it's backed by a Chinese billionaire investor who styles himself after Apple's late Steve Jobs.
"We plan to revolutionize the automobile industry by creating an integrated, intelligent mobility system that protects the earth and improves the living environment of mankind," wrote Jia Yueting (ZHAW' YOO'-weh-ting), who's the founder and CEO of the holding company LeTV.
Faraday has offered few details on its product so far, but has said it hopes to bring a vehicle to market as early as 2017 and plans to unveil a concept car in January ahead of the Consumer Electronics Show in Las Vegas.
FULL story at link.
A sign advertises Mountain View Industrial Park near Apex Industrial Park on Wednesday, Dec. 9, 2015, in North Las Vegas, Nev. Chinese-backed electric carmaker Faraday Future plans to build a manufacturing plant near the site, according to a letter the company sent Nevada officials Wednesday. (AP Photo/John Locher)
Read more: http://bigstory.ap.org/article/fcfb033113cf402e98c5d9bf9defbb30/chinese-backed-electric-carmaker-picks-nevada-1b-plant
James48
(4,437 posts)it sure doesn't look like there is much water there in Nevada to build a billion dollar factory, and fill up all those batteries.......
(Michigan would be much better).
navarth
(5,927 posts)Wastefulness. My beloved Detroit is not the only de-industrialized midwestern city that has pre-existing infrastructure and proximity to the largest supply of fresh water in the world: The Great Lakes. No offense to the great state of Nevada, but why there?
Tax incentives? Right-To-Work (for less)? Perhaps I'll learn more in this thread.
Xithras
(16,191 posts)1. A low regulation environment. It's the desert, so the state of Nevada pays remarkably little attention to what its companies do with it. So long as they aren't dumping raw sewage into the rivers, the state lets companies do their thing.
2. Land is cheap. Dirt cheap. You can still buy raw land in northern Nevada for $500 an acre.
3. Close proximity to a highly educated and technically skilled workforce (Silicon Valley is only a few hours away by freeway) that can be poached if needed. The desert shots are deceptive. Carson City is 25 minutes from Lake Tahoe and it's not a bad place to live. There are a lot of people who live at the lake and drive down to Reno or Carson City for work every day. It's not hard to convince people to move there.
4. Easy access to raw materials and transportation hubs. Many of the raw materials come in from Asia, and this company will be especially China-dependent. It's a short and straight rail shot from the Port of Oakland to Reno, and materials offloaded from container ships in Oakland one afternoon can be sitting in Reno the following morning. This goes the other way too...products created in Reno can be at the ports in under a day.
Tax incentives are certainly help too.
enlightenment
(8,830 posts)The Tesla battery factory is in the north. It's not a done deal, either. The state has already ponied up a shedload of incentives for Tesla.
http://www.reviewjournal.com/news/nevada/faraday-selects-north-las-vegas-electric-car-plant
Sherman A1
(38,958 posts)Hope it works out! The area could use the jobs and I the electric cars would be a great thing.
seabeckind
(1,957 posts)Here's one of the auto plants we taxpayers invested in not so long ago:
If we're going to invest in it, why don't the taxpayers own it? More trickledown BS.
groundloop
(11,520 posts)mahatmakanejeeves
(57,533 posts)Last edited Thu Dec 10, 2015, 12:29 PM - Edit history (1)
The last new Packard that was really a Packard rolled off the line in 1956. In 1957 and 1958, Packards were rebadged Studebakers. After that, there were no more built.
Packard Automotive Plant
I don't know who owns that facility or what use is proposed for it now.
Detroit's infamous Packard plant to be razed. Finally.
Chris Paukert
Despite its various and sundry dangers, urban spelunking has become something of a rite of passage for adventuresome types living in and around Detroit. And while Corktown's legendary Michigan Central Station is probably illicit explorers' favorite quarry, the derelict 3.5-million square foot Packard Plant is likely a close second.
Built in 1903, the sprawling Albert Kahn factory complex hasn't churned out any Packard Motor Company vehicles since the plant was closed in 1958, and it's long been on the city's "To Do" list to force the plant's owners to raze the area. In fact, the city ordered the plant's leveling in April of last year.
According to The Detroit News, that long-in-coming demolition day appears to be close at hand, as the facility's purported owner (there has been much debate about who is actually responsible for the 40-acre complex), Dominic Cristini, says he plans to start the teardown process within a month and is working to obtain the necessary permits. According to the report, Cristini estimates it will take $6 million to tear down the Packard Plant, but he believes that recovered scrap metal will be enough to pay for the dismantling. Cristini further states that his crew may try to save historically significant portions of the facility if possible. It isn't immediately clear what if anything Cristini plans to do with the land once the Packard Plant's remains have been cleared.
For an eerily beautiful slideshow of the Packard Plant, check out Detroiturbex.com.
navarth
(5,927 posts)I'd be interested in seeing a link if you have one.
slightly off topic: My Mom and Dad met in that building.
mahatmakanejeeves
(57,533 posts)a Caribbean.
James48
(4,437 posts)That is the old Packard plant from the 1950's.
However, here is a photo of Detroit from this past Thanksgiving weekend, if you really want to see what Detroit looks like today:
Photo from Felicia Fullwood, https://www.facebook.com/felicia.fullwood.9
James48
(4,437 posts)seabeckind
(1,957 posts)That hasn't employed anyone in a long time.
Currently owned by a foreign investor.
Looks to me like someplace that could be doing something useful but isn't.
Your argument that the taxpayers aren't supporting directly it is a dodge.
It doesn't in any way justify giving a chinese company a special "incentive" to tear up another chunk of land -- one which obviously cannot support an auto plant -- to build a new auto plant.
How about we do some of that liberal recycle/reuse?
restorefreedom
(12,655 posts)who is getting reward and how much is it?
no way china did this out of altruistic intent.
whatthehey
(3,660 posts)Their reward will depend on how well their cars sell.
And while I am no fan of tax relief auctions for new employers, it doesn't look like NV is getting too muych tax revenue from the site now does it? Location deals generally offer tax relief rather than cash. At most they may have to spend some money running utilities and the like, but that's the price of any kind of growth.
restorefreedom
(12,655 posts)then yes, it will certainly be a vast improvement over what is currently there.
seabeckind
(1,957 posts)in american companies? If american taxpayers are going to hand money off to employ other americans -- just what do we need the chinese company for?
BTW, I don't have any problem with the way that land is being used now. It looks to be very self-sustaining to me.
restorefreedom
(12,655 posts)but for some reason (tax breaks etc), american companies are not yet ready to set up shop here. and until we dump the teabaggers from congress, we won't be able to change the structure that rewards them going overseas.
seabeckind
(1,957 posts)might be sitting on a couple trillion in foreign banks?
I do like the way the blame for the last 40 years is shifted to the baggers in congress.
That's precious.
restorefreedom
(12,655 posts)who do you blame for this if not the republicans?
valerief
(53,235 posts)Kelvin Mace
(17,469 posts)compete against Tesla?
seabeckind
(1,957 posts)It's the american way.
olddots
(10,237 posts)1% win as 99% loose .