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Tesla Wants Gigafactory 2 to Be Based in Germany - Report

Tesla Motors is spreading its tentacles quite fast, or at least that seems to be the premium EV maker’s business plan for the coming years. Elon Musk said it even before it mounted the first solar panel on top of the massive structure in Reno, Nevada: there is going to be more than one Gigafactory.
Tesla Motors plant 1 photo
Tesla Motors Inc. is in discussions with the German government over the prospect of building a battery factory in the country, Economy Minister Sigmar Gabriel said, according to Bloomberg.

To be honest, this is the natural thing one should expect, for Tesla Motors to extend its presence on the old continent, that is. The only issue here is its location. Until further notice, Volkswagen Group remains the largest automaker in Europe, making Germany one of the biggest players in the industry.

However, Daimler and BMW are investing significant resources in the development of new generation electric powertrains and battery packs. The "black sheep" of the family has already announced it’s going to invest in plug-in hybrid and pure EV models, something the industry has been expecting from the car-of-the-people maker for years.

Nevertheless, Tesla Motors is serious about their Gigafactory number 2, and it appears the company is currently in a prospecting stage. Last month, Elon Musk was negotiating with China’s officials for a possible future plant that would manufacture EVs domestically, and despite all the controversies claiming the company should keep production in the US, it would be a significant milestone in the EV maker’s expansion.

Discussing possible scenarios is one thing, signing an official deal is a whole different matter. Tesla CEO has been in contact with German officials and may seek state support for the facility, German Minister Gabriel said at an event at a Mercedes-Benz car factory in Rastatt. No further details have been released, but it appears Musk will not go for it if the country isn't willing to offer some public funds or tax incentives.

 
 
 
 
 

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