Tesla is planning to produce its $25,000 budget-friendly electric vehicle in Gigafactory Berlin, as reported by Reuters. Currently, only Model Y is being manufactured in Gigafactory Berlin.
Tesla’s $25,000 electric vehicle, unveiled last March on Investor’s Day, is a crucial part of Tesla’s goal of selling 20 million units annually. Tesla had announced that it could achieve a 40% cost reduction through a manufacturing technique it calls the “unboxed process.”
Initially, Tesla had announced plans to produce this affordable electric vehicle in Gigafactory Mexico. However, as the construction of the Mexico factory was delayed, it declared that production would start first in Gigafactory Texas. Now, it is also expanding to Gigafactory Berlin.
Elon Musk recently visited the Berlin Gigafactory and announced this plan during a meeting with factory workers, according to Reuters.
This announcement comes amidst efforts to form a union in the factory. IG Metall, a powerful union in the German auto industry, is showing movements to unionize the workers in Gigafactory Berlin.
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