Tesla, the renowned electric vehicle manufacturer, is poised to introduce its most affordable car model yet, with production set to commence at its Gigafactory in Berlin, Germany, as per recent reports. Elon Musk, the CEO of Tesla, confirmed this development during his visit to the Gigafactory Berlin-Brandenburg, indicating the new entry-level model will cater primarily to the European market. This news comes following widespread speculation about the production location of Tesla's latest electric vehicle (EV), with previous rumors suggesting potential manufacturing in Mexico and India. However, it appears that the Berlin facility will be the primary production site for Europe.
The Gigafactory in Berlin currently focuses on manufacturing the Model Y for European customers. The upcoming entry-level model may also be produced in additional locations, including China, where the Australian versions of the Model 3 and Model Y are made. Furthermore, Musk revealed an intriguing aspect of the Gigafactory's future, stating that the entire facility will be adorned with artistic designs.
While the exact timeline for the production start of this new model at the German plant remains uncertain, a report from the Chinese media outlet LatePost suggests that Tesla's next-generation vehicles, including this entry-level model, may begin production in Mexico as early as the first quarter of 2025. Tesla's strategy includes introducing a smaller and more cost-effective vehicle below the Model 3, alongside a "RoboTaxi" concept. The company aims to replicate its success in reducing costs, having already cut 50% of expenses from the Model S and Model X for the Model 3 and Model Y.
Tesla's innovative approach to vehicle manufacturing involves integrating design, engineering, and manufacturing teams from the outset, a departure from the traditional sequence of designing first, then engineering, and finally manufacturing. The company highlights the inefficiencies in conventional manufacturing methods, referencing over a century of development since the establishment of Henry Ford's first assembly line.
Looking for car finance?
Get pre-approved car loan offers from over 30 Aussie lenders in minutes.
Jacob Brooke, a respected voice in the world of automotive journalism, brings a wealth of knowledge and insights to his reviews at CarSauce. His keen eye for detail and passion for all things cars shine through in his in-depth analysis and honest evaluations of the latest models of cars. Join him as he guides readers through the car-buying process and explores the exciting world of motoring.