Tesla’s stalled German plant opens amid chip and water woes, rising metal costs alanohnsman
Elon Musk tours Tesla's plant in Grünheide, Germany, with Armin Laschet, former CDU Federal Chairman and Prime Minister of North Rhine-Westphalia, in August 2021.Elon Musk seems relieved that Tesla’s sprawling factory near Berlin, built on 165 hectares of formerly forested land, isproduction of Model Y electric hatchbacks for Europe.
Tesla’s CEO had planned to begin assembly operations at the $5 billion facility in Grünheide, Germany, in July 2021, and then by last fall after missing that deadline. Tesla aims to eventually build 500,000 electric vehicles a year and battery packs at the plant but will be at the mercy of supply chain and other issues beyond Musk’s control for now.
Despite headwinds, the German plant should become a key asset for Tesla in Europe and help meet Musk’s goal of growing its sales volume by 50% annually. It also moderates the Austin-based company’s growing reliance on China, which last year became Tesla’s biggest source of production and profit. The world’s biggest EV market offers lower labor and parts costs for Tesla’s Shanghai plant, but China’s authoritarian government and increasingly tense relations with the U.S.
“The current Rubik's Cube logistics of producing cars in China at Giga Shanghai and delivering to customers throughout Europe was not a sustainable trend.”Demand for lithium, cobalt, nickel and other raw materials needed for batteries for electric vehicles has been rising over the past year, and nickel has had an unusually big price surge this month owing to concerns about supply of the metal from Russia.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
German resort's rift over Russian oligarch resonates across countryA German politician who mobilized a protest against a now-sanctioned Russian resident of his resort town has attracted a following, but also angry emails and a threatening phone call.
Read more »
With No End To California’s Drought In Sight, This Landscaping Change Could Make A Real DifferenceIt's WorldWaterDay, and California is calling on communities to swap out their grass lawns for more native plants as a worsening drought enters its third year of drought.
Read more »
Covid: Spring booster jab launches for over-75s and high risk in EnglandExperts say it will help keep the most vulnerable protected against severe illness amid rising infections.
Read more »
USD/CHF Price Analysis: Erases earlier losses, aims towards 0.9330s after Powell speechUSD/CHF incurred earlier losses during the North American session amid a risk-off market mood due to Russia-Ukraine woes while Fed’s Chair Powell cros
Read more »
Canadian Pacific Railway Locks Out Conductors and EngineersThe lockout stalls global shipments of large volumes of key manufactured goods and commodities, including fertilizers needed by farmers for the spring planting season.
Read more »