Bloomberg News reported recently, citing unidentified people who are familiar with the situation, that Tesla Inc. (TSLA.O) is close to a preliminary agreement to build production facilities in Indonesia with a capacity of one million units.
“Please be cautious about writing articles citing ‘unnamed sources,’ as they are frequently false,” CEO Elon Musk tweeted on Wednesday in response to a tweet referring to the report.
According to Bloomberg’s report, talks with the world’s most valuable automaker were confirmed by Indonesia’s investment minister.
Both the manufacturer of electric vehicles and the Ministry of Investment in Indonesia did not immediately respond to Reuters’ inquiries for clarification.
Following media reports that the automaker could announce a new factory as soon as December, Musk stated last month that Tesla was close to selecting the location of its new “Gigafactory.”
According to the presidential office of South Korea, Musk stated in November that South Korea was one of its top candidate locations for a factory it plans to build in Asia to produce electric vehicles.
In addition to Austin and Fremont in the United States, Tesla manufactures its electric cars in Shanghai, China, Berlin, Germany, and Austin.
According to the most recent report, the Indonesia talks include plans for production facilities and supply chain easing.
Tesla is close to reaching a preliminary deal to build a factory in Indonesia. The manufacturer and the government of the country have long been on friendly terms and have met several times for discussions#Tesla https://t.co/xPdi5IA5HP
— Ξva Fox 🦊Claudius Nero’s Legion 🐺 (@EvaFoxU) January 11, 2023
A senior cabinet minister disclosed to CNBC Indonesia last year that Tesla has signed contracts with nickel processing companies in Indonesia to purchase battery materials.
Lastly, in remarks made in August to Bloomberg News, Indonesian President Joko Widodo urged the manufacturer of electric vehicles to manufacture both its cars and its batteries in the country.