Only the last obstacle is left Tesla's German gigafactory is expected to achieve mass production in 2022

For now, Tesla only needs to clear the last obstacle, and its Berlin Gigafactory in Germany is expected to achieve mass production in 2022.

Zhitong Finance APP learned that the last obstacle facing Tesla's German gigafactory comes from local environmental protection organizations. It is reported that the head of the local environmental protection organization said that the Eggersdorf Waterworks Waterworks Waterworks Water Plant, where the Tesla Gigafactory is located, draws nearly 4 million cubic meters of water from the ground every year, but the Tesla factory will account for most of the consumption, which will inevitably affect the domestic water of the surrounding residents and the use of the rest of the industrial water.

Local environmental groups have complained that the state government approved the Eggersdorf waterworks waterworks plan to increase pumping rates without testing, forcing the local government to hold a hearing to deal with the issue. The hearings originally scheduled for earlier this month were postponed to the end of December for no reason, shattering hopes that tesla gigafactories would achieve mass production in 2021.

For Tesla, the ability of the German Gigafactory to be fully operational is a key component of the company's future. Dan Ives, managing director of Wedbush, said: "The German gigafactory is key to Tesla's plans to expand capacity in 2022 and beyond. For the plant, the key is to start producing cars in early January next year. "There was so much red tape that they didn't think it would take them three months to discuss how to cut down trees."

Struggling

Despite rapid construction progress, Tesla's German Gigafactory project has been bumpy since its inception. In addition to the challenges of local environmental groups, the lengthy government administrative licensing process has left Tesla complaining. In addition, Tesla's recent decision to expand the scope of the factory and build a battery-grade lithium factory near it has also attracted some criticism.

When it comes to environmental protection, Tesla faces problems ranging from initial drinking water pollution to cutting down trees and noise, to affecting the movement of ants in the soil and the hibernation of bats and snakes in the forest. Groundwater has become an urgent issue, and local environmental groups are still working tirelessly to protest the factory's impact on the living environment of the surrounding residents, so as to require automakers to follow the strict local environmental requirements, and they blame Tesla for contradicting German business culture.

German media said that environmental issues will once again force Tesla's German factory to postpone mass production until early 2022, and Tesla needs to prepare more written materials for the hearing to deal with related complaints.

However, as a positive for the local economy and employment, Tesla Gigafactory still received a lot of support. The project, which is expected to create as many as 40,000 jobs in the coming years, is described by the mayor of Gruenheide, where the factory is located, as a "once-in-a-lifetime opportunity" to stimulate the local economy.

Ross Gerber, ceo of asset management firm Gerber Kawasaki, an investor in Tesla, said he was less worried about the obstacles Tesla faced. "From the point of view that we know the plant will soon start, this is not a big problem." "We are very bullish on the European market, and there is a lot of demand for Tesla."

European market

Gartner automotive industry analyst Pedro Pacheco said that while the impact of Tesla's German Gigafactory will be asymptotic, it is significant. "I think the most direct difference is in the capacity. From a manufacturing perspective, Tesla will have more available capacity and a shorter delivery period for its European customers. ”

He also added that if Tesla develops new models designed for the European market, German gigafactories will have a "vital" role. "Germany is one of the world's leading automotive powers, as well as Europe's major automotive powers. So if you want to take advantage of European talent, you have to come to Germany. ”

Another pressing issue that Tesla may have to face is the continued disruption of global supply chains and chip shortages, which have hit the entire auto industry hard. Ross Gerber said he believes Tesla has weathered the chip shortage crisis relatively well, but at least in the first quarter of 2022, the auto industry will still be affected.

"I still think chip shortages will be a challenge in the first quarter of next year. But I also think this problem will be alleviated in the next 12 months. Sometime next year, that will all be solved. ”