GRUENHEIDE, GERMANY – MARCH 22: Tesla CEO Elon Musk attended the official opening of Tesla’s new electric vehicle manufacturing plant on March 22, 2022 near Gruenheide, Germany.
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Musk is seen dancing while presiding over the delivery of the first German-made Tesla cars to 30 customers and their families at the company’s 5 billion euro ($5.5 billion) plant.
“This is a great day for the plant,” Musk said before hailing the launch as “another step toward a sustainable future,” according to Reuters. Tesla CEO brought back memories The launch of the company’s factory in Shanghai In January 2020 where he is too Show some of his dance moves.
Musk is expected to cut a red ribbon at the new Gigafactory Berlin (or Gigafactory Berlin-Brandenburg), located in Grunheid, the coal city of Brandenburg, Germany, within walking distance of the capital.
Not everyone supports Giga Berlin. A number of protesters gathered outside the facility on Tuesday to express their concerns, according to Reuters. They worry that the plant will use up too much water and are unhappy with the number of trees sacrificed for its construction.
Tesla sees the Berlin plant producing up to 500,000 cars a year. It was reported by Auto Motor Und Sport in Germany The Tesla plant is targeting production of 2,000 vehicles in the first few weeks of serial production.
Troy Teslaik, an independent researcher at Tesla, tweeted that the company then hopes to reach 1,000 vehicles per week in six weeks after commercial production begins, and then 5,000 per week by the end of 2022.
The US electric car maker is struggling to keep up with demand, and there are said to be long delays for Model Ys and some Model 3s in various parts of the world.
last week, Tesla had to temporarily halt production at its Shanghai factory Due to the emergence of Covid-19 cases in China. This limited production of China-made Model 3 and Model Y vehicles is there for at least two days.
In recent quarters, Tesla has exported cars from China to customers in Europe.
Demand for electric vehicles is still very high in Europe, and now Tesla can count on some production on the continent, and not just to ship it from China.
Giga Berlin has been several years in the making. It is very important for Tesla’s plans to expand globally after Gigafactory 3 opens in Shanghai in late 2019. The company also began producing the Model Y at another plant in Austin, Texas, recently, but Tesla has yet to hold a major site opening.
He said, “Everyone knows German engineering is definitely great. That’s part of the reason we’ve located Gigafactory Europe in Germany. We will also set up an engineering and design center in Berlin, because Berlin has some of the best art in the world.”
German authorities gave Tesla conditional approval To start production on March 4th.
The conditional licensing of the car and battery plants in Brandenburg was expected after months of delays. Tesla had intended to start production of vehicles by early summer 2021, but covid pandemicSupply chain complexities and clashes with environmentalists have slowed its progress.
While the plant is operating, water use in the facility is still an issue.
“The impact on domestic water supplies remains a concern for the future of the plant,” Deutsche Bank’s auto sector analysts said in a research note on Monday. They added that Tesla would need to provide evidence of appropriate water use and air pollution control in order to truly scale up.
The memo stated, “The sources indicated that the company may completely exhaust the water reserves in the area with the construction of the first phase of the station, and it will need additional extraction permits in order to increase its capacity in the future.”
“As such, Tesla will have enough supplies to support the initial target of 500,000 volumes, but may face additional hurdles as it plans to expand each of its mega plants to nearly one million units of annual production.”
Additional reporting by CNBC’s Laura Kolodny.
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