Tesla

Tesla California plant resumes operation despite bans

Summary

Tesla sues Alameda County in California to reopen its plant Description video: CNBC’s Phil LeBeau reports on the latest in the battle between Tesla and government officials as the company tries to reopen its California manufacturing facility.\n\nTesla CEO Elon Musk […]

Tesla sues Alameda County in California to reopen its plant

Description video:
CNBC’s Phil LeBeau reports on the latest in the battle between Tesla and government officials as the company tries to reopen its California manufacturing facility.\n\nTesla CEO Elon Musk said on Twitter Saturday that the company is preparing to file a lawsuit against Alameda County and will move its headquarters and future operations out of California. \n\nOn Friday, Alameda County’s interim public health officer, Dr. Erica Pan, said that health orders to contain a Covid-19 outbreak in the region are still in place, and that Tesla does not have a “green light,” to resume vehicle production at its main U.S. car plant in Fremont, California, yet. She also noted, “We have been working with them, looking at some of their safety plans, and have had some recommendations.”\n\nTesla had wanted to start production again on Friday afternoon. The plant is where the company makes vehicles for Europe and North America. The company’s headquarters are in Palo Alto, not part of Alameda County.\n\nUnlike other automakers, Tesla’s employees are not part of a union, so it would be easier for the company to significantly alter its operations. \n\nInsulting Pan personally, Musk wrote on Twitter:\n\n“Tesla is filing a lawsuit against Alameda County immediately. The unelected \u0026 ignorant ‘Interim Health Officer’ of Alameda is acting contrary to the Governor, the President, our Constitutional freedoms \u0026 just plain common sense!”\n\nHe also claimed that: “Tesla knows far more about what needs to be done to be safe through our Tesla China factory experience than an (unelected) interim junior official in Alameda County.” \n\nAlameda County responded with a statement saying its Health Care Services Agency and Public Health Department have been working closely with Tesla in Fremont on a safety plan. They said they aim for Tesla to reopen while protecting the health of thousands of employees who travel to and from work at the factory.\n\n“We look forward to coming to an agreement on an appropriate safety plan very soon,” the county said without offering specific details on a timeline. “We appreciate that our residents and businesses have made tremendous sacrifices and that together we have been able to save lives and protect community health in our region. We need to continue to work together so those sacrifices don’t go to waste and that we maintain our gains.”\n\nWhile Musk characterized Pan as “ignorant,” the doctor has deep experience in both public health and infectious diseases.\n\nAmong other things, Pan is a graduate of Tufts medical school, completed a residency and fellowship at UCSF and has worked at Alameda County Public Health Department since 2011 while also working as a physician and professor. She previously worked for six years as the Director of Bioterrorism and Infectious Disease Emergencies at San Francisco Public Health Department, according to her resume on LinkedIn.\n\nPreviously, the Tesla and SpaceX CEO cursed and called Covid-19 health orders “fascist,” on a Tesla earnings call. He also erroneously stated that children are “essentially immune” to Covid-19, among other controversial tweets about the novel coronavirus and governments’ efforts to deal with the pandemic. \n\nFor access to live and exclusive video from CNBC subscribe to CNBC PRO: \nhttps://cnb.cx/2JdMwO7 \n \n» Subscribe to CNBC TV: https://cnb.cx/SubscribeCNBCtelevision\n» Subscribe to CNBC: https://cnb.cx/SubscribeCNBC\n» Subscribe to CNBC Classic: https://cnb.cx/SubscribeCNBCclassic\n \nTurn to CNBC TV for the latest stock market news and analysis. From market futures to live price updates CNBC is the leader in business news worldwide.\n \nConnect with CNBC News Online\nGet the latest news: http://www.cnbc.com/\nFollow CNBC on LinkedIn: https://cnb.cx/LinkedInCNBC\nFollow CNBC News on Facebook: https://cnb.cx/LikeCNBC\nFollow CNBC News on Twitter: https://cnb.cx/FollowCNBC\nFollow CNBC News on Instagram: https://cnb.cx/InstagramCNBC\n \n#CNBC\n#CNBC TV

Tesla California plant resumes operation despite bans

Tesla CEO escalates his standoff with California County officials after announcing the resumption of production in the state.

Tesla California plant resumes operation despite bans

In your tweet on Monday Elon Musk wrote that he would be at the factory along with all the other employees.

«If someone should be arrested, then let it be just me», – the message says.

Musk claims the restrictions imposed by Alameda County, where Tesla’s factory in Fremont, California is based, are overly aggressive and unconstitutional. The company filed a federal lawsuit against the county on Saturday. Musk also threatened to move production from California..

In response, county officials said they were in talks with Tesla to open a factory..

«We continue to look for ways to reach an agreed plan for the safe start-up of production, suggesting the steps that the company has agreed to take», – Alameda County Health Department said in a statement. These steps include improving employee health screening procedures and receiving prompt feedback on safety protocols..

Musk received support from officials in the Trump administration. U.S. Treasury Secretary Stephen Mnuchin told CNBC on Monday that the California government should do more to open up the local economy.

«Tesla is one of the largest employers and manufacturers in California, and the state must do everything it can to address health concerns by allowing production to resume. Otherwise, the plant will move to another region of the country», – said Mnuchin.

Speaking to reporters on Monday, Governor of California Gavin Newsom delegated authority to district officials, stating that each district opens in accordance with local conditions.

He expects the county to allow Tesla to resume operations as early as next week based on its understanding of the interactions between the company and local officials..