Tesla has been known to diversify and boost its global presence regardless of the cost. A second Gigafactory in Europe only proves this so well. In fact, Tesla’s CEO Elon Musk has confirmed something more during a recent press conference in Germany. Aside from batteries, the gigantic manufacturing plant will also be used for vehicle production.
Musk met the press following announcements that they had already acquired Grohmann Engineering. The recent acquisition of the business group is intended to increase quality, speed up the production and bring in more cost-effective strategies to the company.
While in the press meeting, the CEO also explained how the company is bent on pushing the Model 3 in the market, at the soonest possible time. In addition, he also mentioned that the company has other important “investments”. He further described this investment as “the machine that builds the machine”, and that, it will be one of Tesla’s most significant production strategy.
The integrated facility (Gigafactory II) can accommodate power train, battery and vehicle production in a much larger scale. The second Gigafactory would operate as soon as the Model 3 is ready to be assembled. That means, we can see this happening around the 2nd and 3rd quarter of 2017. The CEO added that this is something they had seriously planned to explore at different locations. As early as now, Musk hints at having more than one battery and vehicle factories in Europe.
The new Gigafactory will also come with an automated manufacturing research facility. Grohmann Engineering, (now Tesla Grohmann Automation) consists of experts in the automated assembly. The German company has served clients involved in various trading such as in biotechnology, consumer electronics and telecoms as well as in the automotive industry. This would also mean more jobs are on the line for skilled technicians and engineers as soon as the expansion commences in Europe.
The first Gigafactory in Nevada is the company’s biggest investment project at the moment. While Tesla’s major plant facility is in California, Tesla spent around $5 billion for this new facility and is expected to produce 35 gigawatt hours of batteries within the next two years. In that case, the company will need to employ over 10,000 workers within its 3 -4 years of operation. The construction is still in progress but we can imagine several big buildings to rise up along with solar roof panels. As for the second Gigafactory in Europe, we don’t have to wait that long as the company is expected to search for possible locations by next year.