Tesla (NASDAQ: TSLA) could be putting its plans of manufacturing battery cells in Germany on hold, according to a Wall Street Journal report. The report said that currently, the electric vehicle (EV) major is focused on qualifying for EV and battery manufacturing tax credits in the U.S.
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The report said that Tesla is considering shipping battery manufacturing equipment that it had intended to use at its Gigafactory in Berlin back to the U.S.
If Tesla does decide to make more batteries in the United States, it could “qualify for additional tax breaks available under the Inflation Reduction Act, also known as the IRA, which President Biden signed into law last month,” according to WSJ.
This move comes even as the EV maker is exploring setting up a lithium hydroxide refining facility in Texas.
Is Tesla a Good Share to Buy?
Analysts are cautiously optimistic about TSLA with a Moderate Buy consensus rating based on 19 Buys, six Holds, and five Sells.
TSLA’s average price target of $309.38 implies that the stock has an upside potential of 2.2%.
