Tesla plans a nearly €250 million expansion at Gr-ünheide (Giga Berlin) to boost battery cell capacity from 8 GWh to 18 GWh, creating more than 1,500 new jobs and strengthening the site as a European production hub.

Starting in 2027, the plant aims to vertically integrate battery cell and vehicle production at a single site, a move Tesla says is unique in Europe and intended to bolster supply-chain resilience.

In Q1 2026, the factory set a quarterly record by producing 61,000 units, with plans to reach roughly 1 million vehicles annually at Gr-ünheide and potential Phase 2 expansions if feasible.

The project follows earlier regulatory and environmental protest hurdles but has since posted record outputs and emphasized sustainability, energy efficiency, and on-site recycling.

The timing of the investment is framed against a union outcome, fueling debate over labor relations and alleged coercive tactics in European manufacturing.

Local authorities approved infrastructure upgrades to support the expansion, including a dedicated freight train station.

Tesla’s Robotaxi service faces ongoing wait times and safety concerns in three active cities, with safety identified as the primary constraint on service deployment.

The article will be updated as new information becomes available.

The move fits broader European efforts to localize battery supply chains and reduce reliance on Asian suppliers amid favorable policy conditions for German operations.

Gr-ünheide has highlighted production milestones, including large-scale aluminum casting, over a million drive units, and nearly 1 billion parts produced, with autonomous operation milestones using Full Self-Driving technology in Model Ys.

Sustainability features at the plant include a full water-recycling paint shop and high-volume stamping, underscoring efficiency and environmental goals.

Analysts’ consensus on TSLA remains a Moderate Buy, with a balanced mix of Buy/Hold/Sell ratings and a price target around $404 implying modest downside risk.