EV maker Tesla has decided to increase its capital expenditure for 2023 to $7-$9 billion this year against its previous outlook of $6-$8 billion.
The company, led by Elon Musk, said in a filing that it maintained the spending outlook for the next two years at $7 billion to $9 billion.
Tesla, the world’s most valuable automaker, has been raising its production aggressively as it prioritises sales growth ahead of profit in a weak economy and works towards CEO Musk’s bold goal of selling 20 million electric vehicles in 2030.
Achieving that goal will make Tesla twice the size of any automaker in history, accounting for roughly 20 percent of the global vehicle market.
Tesla in January earmarked $3.6 billion to expand its Nevada gigafactory complex, where Tesla will mass produce its long-delayed Semi truck and build a plant for the 4680 cell that will be able to make enough batteries for 2 million light-duty vehicles annually.
Tesla is ramping up output at its factories in Berlin and Austin, and plans to open a gigafactory in Mexico as the EV behemoth pushes to expand its global output.
Tesla has begun producing in Shanghai a version of the Model Y to be sold in Canada this year, the first time it will ship cars to North America from China.