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Axios
Axios
Business
Kia Kokalitcheva

Tesla will finally halt California production amid pandemic

Photo: David Butow/Corbis via Getty Images

Telsa announced that it will suspend production at its chief U.S. plant, located in the Bay Area, on March 23 amid the coronavirus pandemic — a week after local authorities ordered all nonessential businesses to shut down.

The big picture: Tesla has been among a small number of businesses resisting a full shutdown of operations to curb the potential spread of the virus among workers. Local law enforcement has been in discussion with the company after it told employees to keep coming to work.

  • "Basic operations" that fall under the shutdown order's carveout for essential business will continue "to support our vehicle and energy service operations and charging infrastructure," Tesla added.

Go deeper: Automakers to close all plants over coronavirus fears

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