Tesla announces plans to build Gigafactory 4 in Berlin

Tesla CEO Elon Musk attends the awarding ceremony of'Das Goldene Lenkrad in Berlin Germany 12 November 2019

Tesla CEO Elon Musk attends the awarding ceremony of'Das Goldene Lenkrad in Berlin Germany 12 November 2019

In its Q3 earnings report, the firm announced that its European branch would be up and running in 2021 and that it would build its popular Model 3 saloon auto there, as well as the forthcoming Model Y crossover SUV offering.

In an interview with Auto Bild's sister publication Auto Express after the announcement, Musk also said that "Brexit [uncertainty] made it too risky to put a Gigafactory in the United Kingdom". Combined, they generate annual turnover of £82bn and are responsible for 14.4pc of the UK's goods exports: 80pc of the 1.5m cars built in Britain are sold overseas, mostly to Europe.

"We've chose to put the Tesla Gigafactory Europe in the Berlin area", he said, adding: "I come to Berlin a lot - Berlin rocks!" The Model 3 picked up Germany's Midsize Car of the Year gong at the evening, beating the BMW 3 Series and Audi A3.

Britain missed its chance to host the first European factory of US electric vehicle pioneer Tesla because of Brexit, Chief Executive Elon Musk said in remarks reported on Wednesday.

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According to "Manager Magazin", Elon Musk had already confirmed at the presentation of the Tesla figures for the third quarter of 2019 that his company wanted to build a factory in Europe.

The company has been dogged by concerns it may not be able to ramp up production to meet demand and that Musk may have overstated Tesla's goals for sales and technology improvements.

For its part, Germany hailed Tesla's decision to build its first European factory in the country, days after the government said it would boost subsidies for buyers of electrics cars.

Aerial photo taken on shows the tesla gigafactory at night in Shanghai, China.

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He added that he was still considering building a Tesla engineering group in Britain at some point, and praised British automotive engineering talent, and especially Formula 1.

Altmaier said there had been competition for the plant among European countries in recent months, but denied that the government had offered any financial support to Tesla.

Germany's own carmakers have been tight-lipped about the news - VW has just started production of its electric VW ID.3 at Zwickau, eastern Germany - but there is no doubt that Musk bringing the fight to their doorsteps piles up the pressure on them.

It will also be the company's fourth battery plant, following two in the USA and one in China.

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