According to recent reports, authorities from Germany and Netherlands have initiated talks with the renowned, Palo-Alto based electric vehicle manufacturer—in the possibility of building its European Gigafactory in their respective countries.

The Talks are still reportedly in their early stages, and no formal agreements have thus been made so far. Still, a Dutch official has stated that Tesla has indeed discussed a plan to build a Gigafactory in the Netherlands –where the company currently has a facility that works on preparing vehicles manufactured in the United States, for their local markets.

Ralph Schleimer, a state official from Rhineland Palatinate, Germany said that the state itself is doing whatever it can to assure Tesla that it is a viable location for the planned facility – in a statement to the Wall Street Journal. Schleimer added that the state had already presented its proposals to Tesla, but detailed negotiations had not begun yet.

“We have done everything possible to assure that Rhineland Palatinate is in the competition for the plant,” he said.

Establishing the Europe Gigafactory in Rhineland Palatinate makes sense for the company as the state houses the Tesla Grohmann Automation headquarters – which manufactures robots used by the company in its production facilities.

Saarland, another German state, has also expressed its interest in Tesla’s Europe Gigafactory. According to Saarland economics minister Anke Rehlinger, they also have approached Tesla about the possibility of building the massive facility in their state.

“They are looking at us to see if we fit their needs, (but) formal negotiations haven’t begun,” Rehlinger stated.

The Europe Gigafactory was mentioned by Elon Musk in a tweet last June. During his brief social media announcement, Musk had stated that Germany was the ‘leading choice’ for Europe. He had also teased the idea of a Europe Gigafactory all the way back in 2016 – right after the company had acquired Grohmann Engineering.