The CEO Of The Berlin-Based Tesla Factory Is Hopeful About Demand In The Future

The head of Tesla’s German Gigafactory expressed optimism about the plant near Berlin, despite challenging market conditions. “At the moment we have very good sales results, and because of this we have revised our production plans upwards for the third and fourth quarters,” factory director André Thierig told DPA recently.

“We are monitoring how the market is developing and continue to see positive signals in all the markets we supply,” Tirig added. “We supply more than 30 markets, and we definitely see a positive trend in Germany,” writes SEEbiz.

The German market presents challenges for Tesla. Although electric vehicle registrations in Germany rose in August compared to last year, Tesla’s sales fell, according to data from the Federal Motor Transport Authority.

About 1,400 Tesla vehicles were registered, which is a drop of almost 40 percent compared to the previous year. Meanwhile, Chinese competitors with electric models are gaining ground in Germany.

Sales of electric cars fell last year after subsidies were removed. The government aimed to promote e-mobility with purchase incentives. First of all, it is expected that companies will be offered tax breaks for the purchase of electric cars.

By 2035, internal combustion engines should be banned in the European Union, but the measure is still being debated. Thirig warned Berlin that such discussions could threaten the electric vehicle industry in eastern Germany and called on the government to provide clear support for electric vehicles.

As of March 2022, Tesla produces electric cars in Grünheide near Berlin, employing around 11,000 workers. Environmentalists express concern because the factory is partially located in a protected water-bearing area. Plans to expand the plant are on hold due to market conditions, although a freight rail station is planned.

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