Tesla will increase capital expenditure to $7-9bn in 2023 and fund it with its own funds

Reuters reporters have taken a look at Tesla's quarterly report on Form 10-Q. It is learnt that Elon Musk's company plans to increase capital expenditure in 2023 to the level of the next two years.

Here's What We Know

Capital expenditure was originally projected at $6-8bn, which will be increased to $6-9bn during 2024 and 2025, according to new figures. Tesla intends to invest the same amount. Interestingly, the company is willing to finance the capital expenditure with its own funds.

In early 2023, Tesla announced a $3.6 billion investment to expand its Nevada facility. Last year, the plant began producing Semi trucks, but the bulk of the production is focused on batteries.

After the upgrade, the Nevada plant will be able to produce 4680 battery cells in sufficient quantities to assemble 2 million electric vehicles per year. Deliveries at the level of 1.8-2 million cars is the company's goal for 2023. By the end of the decade, Tesla wants to capture 20% of the global market by shipping 20 million electric vehicles annually.

At the same time, the company is expanding production in Germany and will build its first plant in Mexico, which will be located a few hours drive from Texas. In Mexico, Tesla will produce electric cars on a new platform costing less than $30,000.

Source: Reuters