Jim Cramer Says Elon Musk Is Right About Tesla Factory Reopening

Daniel Kuhn

If you thought a new baby would slow Elon Musk down, you would be wrong.

Tesla (TSLA) - Get Report was back in the headlines this weekend on news Saturday that Musk is launching a lawsuit against California's Alameda County, the home of Tesla’s Fremont production facility.

Musk said the “final straw” had been reached after Tesla’s Fremont factory wasn’t permitted to reopen Friday. The factory has only been permitted to operated at minimal capacity since mid-March when stay-at-home orders began at large.

Erica Pan, interim health officer for Alameda County's public health department, said "we have been working with [Tesla] looking at some of their safety plans. But no, we have not said that it is appropriate to move forward,” said at a virtual town hall Friday.

In response, Tesla wrote in a company blog Saturday that Tesla has met with and collaborated restart plans with the Alameda County Health Services Agency and want to “continue to put people back to work in a safe and responsible manner.”

"However, the County’s position left us no choice but to take legal action to ensure that Tesla and its employees can get back to work,” the company wrote.

Responding to a tweet from Tesla investor Ross Gerber, co-founder and CEO of Gerber Kawasaki, Musk said Pan is “acting contrary to the Governor, the President, our Constitutional freedoms & just plain common sense!”

Musk also said that Tesla plans to move its headquarters to Nevada or Tesla as soon as possible and questioned whether any future manufacturing of Tesla products will continue in California.

Currently, around 10,000 people are employed by the Tesla Fremont factory, with around 20,000 total employees in the state of California.

When it comes down to the Fremont factory reopening and Musk's strong opinion, Jim Cramer has two words: "He's right."

So what do Tesla investors need to watch next? Jim Cramer digs into the stock and its always colorful CEO in the video above.

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Comments (8)
No. 1-7
modown
modown

Having lived in the Bay Area, this would be a great loss for the county. I hope it doesn't happen and they can work things out. I can see both points and the question is who becomes liable when an employee gets sick? These are probably some of the factors driving the standoff (no pun intended). There are still infections in the area, as the county tracker lists. https://ac-hcsa.maps.arcgis.com/apps/opsdashboard/index.html#/332a092bbc3641bd9ec8373e7c7b5b3d

skay
skay

Man, Elon Musk really knows how to stay in the headlines.

ErikaSantoro
ErikaSantoro

Elon Musk really knows how to make news

bykatherineross
bykatherineross

Watch more of my interviews with Jim right here on Street Lightning!

Jaime Eisner
Jaime Eisner

Maybe it's more noticeable because Elon is such a public figure, but owning TSLA stock seems like a constant daily rollercoaster.

kdriscoll
kdriscoll

Will be interesting to watch this play out


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