The EV automaker is expected to build the large facility in either Nevada, Arizona, Texas, or New Mexico - regions which are all close to major lithium factories.
Panasonic (PCRFY) will play a major role in the roll-out of the Gigafactory. Shares of the ADRs were up over 10% this week as enthusiasm built up over some of the potential down the road for the company in battery production.
Goldman notes that lithium producers such as Rockwood Holdings (ROC) could be well-positioned if Tesla's Gigafactory helps support market demand for lithium.
A rising tide lifts all lithium boats: If lithium demand improves, other companies to watch in the lithium-ion battery industry include Arotech (ARTX), Polypore Internationak (PPO), Western Lithium (WLCDF), FMC Corporation (FMC), EnerSys (ENS), and Sociedad Quimica y Minera de Chile (SQM).
Related ETFs: LIT