Print 20 comment(s) - last by heomapnhat.. on Apr 15 at 4:01 AM

Tesla wants to avoid mines with labor issues and pollution problems

Tesla is the most successful company in the electric vehicle market today and the company is hoping that its good fortune continues (that is if dealerships and lobbyists step out of the way).
Tesla last week looked to squash fears of vehicle fires with additional underbody protection for the Model S, and today it’s looking to source all of its raw materials in North America for its new $5 billion battery factory. The move means that Tesla won’t be using the typical overseas sources for materials such as graphite, cobalt, and other items.
“It will enable us to establish a supply chain that is local and focused on minimizing environmental impact while significantly reducing battery cost,” says company spokeswoman Liz Jarvis-Shean. Another reason for the move is to help Tesla prevent the use of materials sourced for areas in the world responsible for massive amounts of pollution and to eliminate the use of materials from areas where there are human rights concerns.

China, for example, has moved to close mines that produce graphite used in lithium-ion batteries and other products due to air quality issues. Most of the graphite that Tesla uses currently comes from Japan and Europe and is of the synthetic variety.
Tesla might have to turn to graphite mines in Canada, while Cobalt could come from areas like Minnesota and Idaho.
“It’s very patriotic of them to do that, but it costs, and already the costs of these electric vehicles are quite high,” said Edward R. Anderson, CEO of consultant firm TRU Group Inc.

Source: Detroit News

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By spamreader1 on 4/2/2014 11:18:38 AM , Rating: 2
I almost can't imagine a car completely made from materials, parts, and labor that doesn't have something outsourced to another country. 40-50 years ago I wonder if the oposite thought was true.

RE: Wow
By flyingpants1 on 4/2/2014 11:24:26 AM , Rating: 2
We're talking about the battery here, not the whole car.

RE: Wow
By niva on 4/2/2014 12:12:41 PM , Rating: 2
The article actually says the graphite might come from Canada so ...

RE: Wow
By spamreader1 on 4/2/2014 2:05:08 PM , Rating: 2
Yes, I realize that, it just made me think, "what if".

RE: Wow
By Samus on 4/2/2014 3:50:58 PM , Rating: 2
Canada is generally ruled into the US suppliers category when regarding automobiles. The UAW actually represents both US and Canadian auto workers. And for decades, many Ford and GM vehicles have been assembled, at least partly, in Canada, with or without consumer knowledge. QNX, Canadian-based infotainment system builder, is used by GM and Chrysler, and possibly soon, Ford. Delphi also used to be headquartered in Toronto and they made all kinds of parts from electronics to pumps for dozens of auto manufactures world-wide.

If Russia gets to annex Crimea, we should get to annex parts of Canada ;)

RE: Wow
By Jeffk464 on 4/2/2014 5:48:50 PM , Rating: 2
Na, leave Canada alone. Their government is better than ours so why would we want to mess it up?

RE: Wow
By KCjoker on 4/2/2014 6:39:32 PM , Rating: 2
Rob Ford says hi.

RE: Wow
By Jeffk464 on 4/2/2014 6:56:37 PM , Rating: 2
not the best example. I was talking more about the parliamentary system.

RE: Wow
By FITCamaro on 4/3/2014 7:26:09 AM , Rating: 2
So move there.

RE: Wow
By mars2k on 4/3/2014 9:38:32 AM , Rating: 1
And you keep driving a camaro, you could put a spinning wheel in the back and then load all of it onto a steam engine and shuffle off to Buffalo.

Truth is our government does suck. This latest supreme court ruling on campain contributions has put the last nail in that coffin. And you helped Fit..thanks

RE: Wow
By wordsworm on 4/5/2014 1:37:16 PM , Rating: 2
Hey, I like Obama. Not perfect, but hey, we had to have our own right wing nut job *for 10 years*.

I almost came in my pants when I learned they're going to come out with an amphibious electric car. If anyone can do it...

RE: Wow
By Mathos on 4/3/2014 1:07:27 AM , Rating: 2
I believe the UAW also represents some Mexican workers as well. Can't remember for sure though. Mexico is also part of north America. AC/Delco was actually based around Flint Michigan. Had a step father that worked there for 30 some years. They were then bought by GM, and renamed to Delphi, as a subsidiary oem parts supplier. All of the big 3 also have many plants in Mexico. Basically it's part of how they're allowed to sell their vehicles there. Chrysler builds part of their engines there for example.

It is nice to see Tesla leading by example though, and choosing to use North American supplies for their business. I'd imagine if we had steady Lithium production here, they'd be getting that here as well.

Graphite is not a rare earth
By DanNeely on 4/2/2014 10:22:11 AM , Rating: 2
It's carbon and available from many sources.

RE: Graphite is not a rare earth
By danjw1 on 4/2/2014 10:50:03 AM , Rating: 3
So far the only one to mention rare earth metals is you. There is no mention of rare earth metals in the article, other than lithium and that in the context of graphite being used in the making of lithium batteries.

By flyingpants1 on 4/2/2014 11:01:11 AM , Rating: 2
Not to mention that graphite is not a metal.

RE: Graphite is not a rare earth
By DanNeely on 4/2/2014 11:31:17 AM , Rating: 3
The article has apparently been edited. At the time I made my comment, graphite was mentioned as an example of rare earths and linked to a recent article about China's export quotas being smacked down by the WTO.

RE: Graphite is not a rare earth
By Jeffk464 on 4/2/2014 5:46:33 PM , Rating: 3
You have to love Elon Musk, an non wall street type CEO with actual ethics and he is beating them at their game.

RE: Graphite is not a rare earth
By TSS on 4/3/2014 6:56:45 AM , Rating: 2
Except that financially speaking he's cooking the books as hard as any wallstreet firm is.

Still hasn't made a GAAP based profit, there's a difference of $150 million between GAAP and non-GAAP based revenue. Which is because they're marking liabilities as sales, because of their "innovative" leasing scheme. They're also excluding expenses from their non-gaap revenue. And they're still making money on the sale off "zero emission vehicle credits". Also remember he's thankfully making use of taxpayer money in the form of the governmental tax credits on vehicles with batteries (it's even the basis for his leasing scheme).

To his credit he's not being any worse then any wallstreet CEO. But he's certainly not being any better either. He's just riding the hypetrain for as long as it'll run hoping they'll turn an actual profit by the time it comes to a halt. Which, untill they do make a proper profit, i'm not gonna be a fan of the results.

There's no such thing as a "non wall street CEO with ethics" as long as his company is very much a part of wall street. That said i'm much more a fan of his work with Space-X. His work's alot better as long as he doesn't have to involve himself with wallstreet.

US Made
By lifewatcher on 4/3/2014 10:44:09 AM , Rating: 3
Not sure how far Tesla will go with this, but I still hope Costco will have "US Made" stickers on what's >90% US material/labor...then, when you show up at the register with a cart full of only "US Made" stuff, you get 5% discount and a little American flag.

What? Too cheesy? Well, I suppose I'm getting old...

RE: US Made
By heomapnhat on 4/15/2014 4:01:17 AM , Rating: 2
It's carbon and available from many sources
What? Too cheesy? Well, I suppose I'm getting old...

"I modded down, down, down, and the flames went higher." -- Sven Olsen

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