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Tesla Giga Berlin Production Rate Increased To 5,000 Model Y Per Week

Hamartia Antidote

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Tesla has just achieved another major manufacturing milestone in Germany, where the Giga Berlin-Brandenburg plant in Grünheide near Berlin produced 5,000 electric cars in a single week for the very first time.

The company noted also that the level of 5,000 units per week was reached one year after delivering the first Made-in-Germany (MIG) Tesla Model Y cars to customers in Europe (in March 2022).

That's quite a fast ramp-up, although initially, things were not progressing as quickly, and the plant construction took more time than initially anticipated (two years), in big part due to waiting for permits.

Below we can see a time-lapse video presenting the production of the jubilee Tesla Model Y (the 5,000th unit in seven days):


Assuming about 50 weeks in a year, the current production rate should be enough to produce more than 250,000 Tesla electric cars in Germany.

The previous level of 4,000 units per week was reported in late February, which means a 25 percent increase in just under one month.

Tesla Giga Berlin milestones:
That's not the end of progress, as Tesla is expected to further increase production, potentially to one million units per year, which would be around the current output of the Tesla Giga Shanghai factory in China.

However, in parallel to increasing the production of electric cars in Europe, Tesla has to pay attention to the balance between supply and demand.

Currently, the estimated wait time for a new Model Y is relatively short. Time will tell whether the increase in production will require some additional price reductions (to attract more orders) or not.

Anyway, the Tesla Model Y is one of the best-selling cars of any kind in Europe and there is a chance that it will become the #1 overall at some point in the future.
 

Tesla To Add A Fourth Shift At Giga Berlin In A Bid To Double Production​


The American EV maker wants to build 10,000 vehicles per week in Germany.
 

Tesla has revealed its aspirations to commence its Giga Berlin expansion project in the first half of 2024. This announcement comes against the backdrop of ongoing public debates surrounding the project’s scope and impact. The expansion initiative aims to modernize the existing factory structure, establish a water recycling facility, and construct a second production building and a battery recycling plant in the coming years.

However, the project hasn’t been immune to controversy. Over 1,000 objections have been raised against Tesla’s expansion plans, with significant concerns centering on potential environmental consequences and the plant’s water consumption. The Strausberg-Erkner Water Association has been particularly vocal in opposing Tesla’s expansion, citing its inability to meet the increased water demand for expanded production.

Environmental organizations, including the Green League, Nabu, and the Association for Nature and Landscape, have expressed concerns about the transparency and consistency of the discussion process. They’ve criticized certain document redactions and subsequent alterations after initial publication, raising questions about the process’s integrity. Despite these objections, the State Office for the Environment has affirmed the legality of Tesla’s updates to application documents, provided they don’t constitute an entirely new project.

German Chancellor Olaf Scholz has lent his support to Tesla’s expansion, emphasizing the significance of retaining companies like Tesla to strengthen the country’s economy. He underscored the need to balance environmental considerations with economic prosperity. As outlined in plans released last year, the expansion is set to boost Giga Berlin‘s production capacity from 500,000 to over 1,000,000 vehicles annually and increase its battery production capacity from 50GWh to 100GWh per year.
 

Tesla plans to build its $25,000 electric car at Gigafactory Berlin​


Tesla has reportedly confirmed that it plans to build its upcoming $25,000 electric car at Gigafactory Berlin.

It’s a rare new model to be confirmed for the factory that currently only produces the Model Y.

At Tesla’s 2023 Investor Day in March, the automaker unveiled a new car manufacturing system, which CEO Elon Musk claimed would be faster, more efficient, and enable the production of cheaper electric vehicles.

Tesla is calling it the “Unboxed Process”:

Long-gif-unboxed-Tesla.gif

The general idea is that Tesla wants to be able to work on separate sections of the vehicle individually and only bring the car together at a new “more final” assembly.

It differs from the more traditional car manufacturing model to move the entire vehicle body down a line all the way to the final assembly.

Tesla has announced plans to use this next-generation platform to launch two new vehicles: a cheaper, smaller electric car, often referred to as “the $25,000 Tesla” and a robotaxi designed specifically for a self-driving taxi service.

The automaker first announced plans to build the new next-gen vehicles at the upcoming Gigafactory Mexico.

However, those plans have been delayed, and consequently, Tesla said it will first build the new electric vehicles at Gigafactory Texas.

The automaker is already installing some of the production equipment for the next-gen vehicles at the factory.

Now, Tesla is also expanding the footprint of the next generation vehicles to Gigafactory Berlin.

Elon Musk recently visited Gigafactory Berlin and held a meeting with the factory workers. At the meeting, he reportedly announced that the plant will build the new cheaper Tesla vehicle (via Reuters):

At the same meeting, he informed staff of plans to build the 25,000-euro vehicle there, the source said.

Top comment by Marion & Michael

Liked by 5 people
Would have thought this would still be first manufactured in China where Tesla seem to be able to get things done quickly and the cheap batteries for a small/cheap car are readily available.

Wonder if this announcement is a 'look what could happen here without unionisation, think about it when the union comes recruiting' type negotiating ploy?

The announcement comes amid a unionization push at the factory. IG Metal, a powerful union in the auto industry in Germany, has been making moves to try to unionize Giga Berlin’s workers.

Tesla has increased wages at the plant – though the company claims it has nothing to do with the unionization effort.

The announcement of the new vehicle being built at the plant could also help create some job security.

Tesla is currently only producing the Model Y at the factory and had yet to announce a new vehicle program to be built at the plant.
 
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