GMBStaff
6 Nov 23
Tesla plans to build a €25K ($26,880) electric vehicle at its German plant, as announced by Elon Musk during a visit to the Gigafactory. The plant currently produces the top-selling Model Y in Europe and has the potential to produce one million vehicles per year. This announcement is significant as ...
Tesla plans to build an electric vehicle priced at around €25K ($26,880) at its plant in Germany, according to sources. During a visit to the Gigafactory, Elon Musk reportedly made the announcement to employees. The current plant in Germany produces the Model Y, which is the top-selling electric vehicle in Europe. Tesla has previously stated that the plant has the potential to produce up to one million vehicles per year. The bull case for Tesla relies on the company ramping up production of a cheaper model, with Musk first teasing a $25K model in 2018.
The timing of this announcement is significant, as it comes at a time when major competitors are still at least a year away from offering an electric vehicle priced below €25K. Furthermore, European Union regulators have recently launched an investigation into subsidies provided by China to electric vehicle manufacturers in Germany. As a result of the news, Tesla's stock rose by 2.05% in premarket trading, reaching $224.46. The stock has recently surpassed its 200-day moving average and currently has a short interest of just 3.12% of the total float.