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Musk Says Tesla Will Build Model Y in Fremont

Tesla CEO Elon Musk says he has been persuaded to launch production of the company’s next electric vehicle—the Model Y small crossover—at its assembly plant in Fremont, Calif.

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Tesla CEO Elon Musk says he has been persuaded to launch production of the company’s next electric vehicle—the Model Y small crossover—at its assembly plant in Fremont, Calif.

Musk originally wanted to produce the car (pictured), which will share its platform with Tesla’s Model 3 sedan, at the company’s giant battery plant near Reno, Nevada. He said on Sunday that Tesla executives convinced him that the company would achieve high-volume output faster at Fremont.

Musk also says he deliberately underplayed the Model Y unveiling in March because he didn’t want to convince potential customers to shun the Model 3 until the Model Y goes into production in 2021.

Tesla aims to eventually supply China with the Model Y from the factory it is building in Shanghai. That facility is expected to begin making Model 3s in low volume by the end of this year.

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