First factory in Europe

Several media reported that Tesla opened its first manufacturing facility in Europe, Gigafactory Berlin-Brandenburg. It will manufacture hundreds of thousands of Model Y vehicles and millions of battery cells.

The US company thinks that the Berlin factory producing up to 500,000 vehicles annually. Of course, it is a goal of the factory in the near future and just starts its operation now. In fact, the plant is targeting output of 2,000 vehicles in its first few weeks of serial production. Output will be 1,000 per week at the six week-mark following the start of commercial production according to the research. Thus, it will increase up to 5,000 vehicles per week by the end of 2022.

The facility in Berlin is important for the company because it has exported vehicles from China to customers in Europe. Therefore, when the factory in Berlin is working, it can reduce lead time of the delivery to each customer in Europe.

Volkswagen still holds the upper hand in Europe’s electric vehicle market, with a 25% market share to Tesla’s 13%. However, the Europe is one of the most important EV markets along with China. Also, many of European customers value sustainability and eco-friendliness, so Tesla can be a good option for them.

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