Tesla is building its biggest Megapack factory yet, and it's going up just outside Houston. The facility in Brookshire, Texas is targeted to produce 50 GWh of energy storage annually once fully ramped — more than the company's California and China plants combined — and is expected to employ up to 1,500 people by 2028.
What's Being Built — and Why It's Different
The Brookshire site, located in Waller County's Empire West Industrial Park roughly 35–40 miles west of downtown Houston, isn't just a scaled-up version of Tesla's existing Megapack lines. According to verified reports, the factory will produce two next-generation products: the Megapack 3 and the new Megablock system.
The Megapack 3 offers approximately 5 MWh per unit — a roughly 28% increase over the Megapack 2's 3.9 MWh capacity — with a redesigned thermal management system that reduces connections by 78%. The Megablock takes that further, integrating four Megapack 3 units with a transformer and switchgear into a single 20 MWh assembly. That kind of density matters enormously for utility-scale grid projects where installation time and footprint are major cost drivers.
The complex spans two buildings totaling over 1.65 million square feet: Building 9 (~1 million sq ft) handles primary manufacturing and robotic assembly, while Building 10 (~600,000 sq ft) covers warehousing and logistics.
The Numbers Behind the Investment
| Metric | Detail |
|---|---|
| Location | Brookshire, Waller County, TX (~35–40 mi west of Houston) |
| Annual capacity (full ramp) | 50 GWh |
| Total investment | ~$200M ($44M facility + $150M equipment) |
| Jobs by 2028 | Up to 1,500 (375 by end of 2026, 750 by 2027) |
| First production target | Megapack 3 units, late 2026 |
| Tax incentive | Up to 60% property tax reduction over 10 years (Waller County) |
| Projected payroll (10 yr) | Over $1B in employee salaries |
How Texas Fits the Global Picture
Tesla currently operates Megapack factories in Lathrop, California (40 GWh capacity) and Shanghai, China (20 GWh). Adding Texas at 50 GWh would push Tesla's total nameplate energy storage manufacturing capacity to 110 GWh — a meaningful step given that grid-scale battery demand is accelerating faster than almost any other segment of the energy transition.
Cell supply for the Texas plant will come from a $4.3 billion LFP cell manufacturing facility in Lansing, Michigan — a joint venture between Tesla and LG Energy Solution. That plant is scheduled to begin production in 2027, which aligns with the Brookshire factory's own hiring ramp. Until Lansing comes online, early Texas production will likely rely on existing cell supply chains.
What the Timeline Looks Like
Tesla is targeting Megapack 3 deliveries from the Texas facility in the second half of 2026, with the hiring ramp structured in phases: 375 employees by end of 2026, 750 by end of 2027, and the full 1,500-person workforce by 2028. The phased structure is tied directly to the Waller County tax abatement agreement — Tesla must hit those employment milestones to retain the 60% property tax reduction.
For the broader energy storage market, the Texas factory represents Tesla's clearest signal yet that Megapack is no longer a side business. At 50 GWh of annual capacity from a single site, Tesla is positioning itself to supply grid projects at a scale that few competitors can match. The question now is whether demand — and cell supply from Michigan — can keep pace with the production ramp.
Sarah focuses on Tesla Energy, SpaceX missions, and the broader Musk AI portfolio. Former data analyst in clean energy. Based in San Francisco.
Sources verified at publish time. Spotted an inaccuracy? Email editorial@basenor.com.
