At a glance:
- Tesla has received a conditional permit for Germany’s gigafactory.
- The company is gathering a workforce and by far 12,000 have been hired.
- Tesla is planning to meet the conditions in the next two weeks.
Tesla has received the green flag for Germany’s gigafactory near Berlin. Although conditional, the permit has is ending months of delay for the 5 billion Euro landmark plant. The gigafactory in Germany would be the key to gaining a stronger foothold against the competition of European market leader Volkswagen.
The gigafactory was initially scheduled to open last summer but the permit remained due. Now, Tesla has attained the conditional permit.
What does the conditional permit encapsulate?
Tesla can start production once it can prove that it fulfills myriad conditions, like water use and air pollution control. The conditional permit will only lift when these conditions are met.
Volkswagen and Tesla compete for the European market
Volkswagen is one of the largest automakers in Europe with a 25% share of electric vehicle sales. In comparison, Tesla only accounts for 13% of EV sales.
Tesla’s gigafactory is expected to be a big step in the future and the plant will give a major industrial and technological driver for Germany and the European region. Tesla will be manufacturing 500,000 battery-powered vehicles at this new plant, located in the small community of Gruenheide, annually.
Tesla 2,600 of the plant’s expected 12,000 workers have been hired so far and the tech giant is in talks with numerous parts suppliers in the region to source employees as much as possible locally that would cut the waiting times and costs.
Tesla will be operating in two weeks?
By starting the production at the gigafactory plant, Tesla can deliver Model Y cars to European customers faster and more cheaply. It met the orders in Europe from its Shanghai factory plan and has been waiting for approval for the site.
Tesla has begun the construction under pre-approval permits. Tesla is planning to meet the conditions and start the production plant in the next two weeks. The next challenge that awaits Tesla is scaling up production swiftly.
