Tesla Motors will be building, along with its partners, a $5 billion "gigafactory" in the US to produce lithium ion batteries for their cars. Tesla is expected to directly invest $2 billion with the rest coming from partners.
By 2020, the gigafactory will produce more batteries in one facility than were produced in the entire world in 2013.
This will reduce the battery pack cost for Tesla by about 30%. The lithium ion battery packs will be built from raw materials to finished product in one facility and the facility will also recycle old battery packs.
It will also allow Tesla to ramp up from their current production of a projected 35,000 vehicles in 2014 to 500,000 vehicles by 2020.
The gigafactory will have renewable power generation built around it to provide power. It will employ roughly 6,500 people and will be up to 10 million square feet.
Construction is expected to begin in FY 2014 with production beginning in 2017.
Check out more info on it here:
http://www.teslamotors.com/sites/def...igafactory.pdf