Tesla May Have To Shut Down California Factory Amid Coronavirus 'Shelter In-Place' Order

Tesla Inc. on Tuesday received a declaration that could force the giant automaker to shut down some of its operations in Fermont, California, under a “shelter-in-place” directive that was ordered.

In a tweet, the Alameda county sheriff said Tesla is not an "essential business" as defined in the Alameda County Health Order.

“Tesla can maintain minimum basic operations per the Alameda County Health Order,” the sheriff said in the tweet. The minimum basic operations include maintaining the value of inventory, ensuring security and processing payroll and employee benefits.

The declaration came after local reports claimed that Tesla’s factory in Fremont will remain open as it falls under the “essential business” category.

Tesla CEO Elon Musk on Monday told its employees in an internal memo that the company would continue operations at the Fremont factory but they could work from home if they want.

The county issued a shelter-in-place order on Monday that requires all nonessential businesses to close, through at least April 7.

The electric car assembly plant employs about 10,000 workers.