Tesla to Build a New Megafactory in Texas for Energy Storage

Tesla has announced plans for a new Megafactory in Texas, dedicated to producing Megapack energy storage systems. Learn more about the project, its impact, and future prospects.

Tesla is once again expanding its manufacturing capabilities, this time in Texas. The company has announced plans to build a new Megafactory in the Empire West industrial park, near Houston. This facility will be dedicated to producing Megapack—large-scale battery storage systems designed for energy storage and grid distribution.

The factory will be housed in a 1-million-square-foot facility, previously used by logistics company DB Schenker for handling Tesla parts. Now, the facility will be repurposed for Megapack production, allowing Tesla to scale up its energy storage business and strengthen its position in the renewable energy market.

To support the project, Tesla has secured a tax incentive agreement with Waller County, granting the company significant investment benefits. Tesla will receive $44 million for infrastructure improvements and $150 million for manufacturing equipment, which will accelerate production readiness. Additionally, the company plans to build a 600,000-square-foot distribution center with supplementary manufacturing capabilities.

The new factory is expected to create around 1,500 jobs, providing a significant economic boost to the region. Texas has become a key hub for Tesla’s operations—Gigafactory Texas, which produces the Model Y and prepares for Cybertruck production, is already a major part of the company’s manufacturing ecosystem.

This facility will be Tesla’s third Megapack production plant, joining the existing ones in Lathrop, California, and Shanghai, China. Together, these facilities contribute to an annual production capacity of 40 GWh, highlighting the strategic importance of the energy storage sector for Tesla.

Tesla continues to pursue ambitious goals in sustainable energy. With increased Megapack production, the company not only expands its footprint in the sector but also plays a pivotal role in accelerating the transition to renewable energy sources.

Source: electrek.co