This agreement was reached after nearly two years of negotiations and includes higher permissible limits for wastewater pollution.

Tesla has signed a new water contract with the Strausberg-Erkner Water Association (WSE) to continue its wastewater recycling efforts at its factory in Grünheide, near Berlin.

Operational since 2022, Tesla's Grünheide factory is the company's only production site in Europe, but it has faced challenges in the German electric vehicle market.

Tesla claims its water consumption is lower than the industry average and has significantly reduced its usage since the factory's construction.

The company has altered its wastewater quality from industrial to household sanitary wastewater, aligning it with contractual limits.

Despite these measures, environmental activists remain concerned about the factory's water consumption and its potential impact on the region's drinking water supply.

Protests against the new water contract have been organized by environmental groups, highlighting worries over the factory's location in a protected water area.

On June 12, 2025, the protest group 'Tesla den Hahn abdrehen' demonstrated against the new water contract just days before it was finalized.

The WSE had previously threatened to halt disposal services due to concerns regarding the factory's wastewater.

According to factory manager André Thierig, the new contract includes adjustments to water supply quantities and wastewater disposal for the coming decades.

The contract allows Tesla to return nearly 400,000 cubic meters of its water allocation back to the water association, supporting its recycling initiatives.

Tesla aims to quell public discussions surrounding its water use with this contract, as water usage has been a contentious issue since the factory's inception.