Tesla has submitted its application to the State Office for the Environment for the expansion of its Giga Berlin plant, with the aim to increase production capacity from 500,000 to 1 million vehicles per year. The application only involves changes to the existing plant in Grünheide, Germany to further ramp up production, and no additional water supply will be required. Tesla has optimised planning and production processes, enabling the company to accomplish the expansion without requiring additional water resources.
This news comes as no surprise, as Tesla intended to submit the application for the expansion of its factory in Grünheide before the end of 2022. Currently, Tesla produces around 4,000 Model Y SUVs every week, equating to approximately 200,000 a year. The workforce comprises about 10,000 employees, and this is expected to reach 12,000 in the first expansion phase.
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The plant expansion involves 70 hectares north of the site, and Tesla will need to reapply for the expansion of the factory itself. Additionally, Tesla announced plans in September 2022 for a new logistics centre, including a freight station, which will be built outside the existing site on approximately 100 hectares of land to the east. Tesla initiated the latter expansion process in May 2022.
Tesla has faced criticism from environmentalists over water supply in the region, but the automaker has stated that this expansion will not require additional water supply. The company will achieve this by treating and reusing water during production, thereby ensuring that the amounts of fresh water previously used as a basis and contractually agreed will be sufficient for this expansion.
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This move by Tesla is significant and highlights the company’s commitment to expanding its production capacity, especially as demand for its vehicles continues to rise. The expansion will enable Tesla to keep up with the increasing demand for its electric vehicles while also creating more jobs in the area. As the electric vehicle market continues to grow, this expansion will position Tesla as a leader in the industry, further solidifying its position in the global automotive market.