Tesla received a boost in Germany on Thursday when the local council in Grünheide voted in favor of the electric vehicle maker’s plans to expand its Gigafactory in the region. The vote tally showed eleven councilors supporting the expansion, while six voted against it and two abstained.
The Austin-based company faces several hurdles before commencing the expansion project, which includes a train station and new roads aimed at reducing heavy truck traffic in the area.
Tesla had to revise its original plan in response to local criticism. Despite these challenges, Tesla maintains a long-term goal to double the site’s capacity to 100 gigawatt-hours of battery production and to produce one million cars per year.
In its Q1 report, Tesla cited disruptions caused by protesters at the Berlin Gigafactory as a negative impact on its profit margins. However, the company noted that the normalized Model Y cost per vehicle in Austin and Berlin is nearing the cost at its Fremont Gigafactory.