After difficult months on the Old Continent, the skies above Tesla seem to be finally clearing up. The Model Y regained leadership of the German electric vehicle market in June, and the Grünheide plant near Berlin is preparing to significantly increase production. Hiring, investing and growing registrations: the US manufacturer is now showing confidence in the future that has become rare in Europe.
In June, the Tesla Model Y again became the most registered electric car in Germany with 6,023 vehicles registered, representing 7.2% of the electric vehicle market. Results that allow the company to regain first place after two months during which Volkswagen Group models dominated the rankings.
This strong result is part of a broader move seen in several European markets since the spring. In June, Tesla registrations increased by 56% in Sweden, 43% in Italy, 43% in Portugal and 39% in Denmark. In France they more than doubled in a year, while Spain showed a more modest increase of 5.6%.
The exception is Norway with a decrease of 43%. The Norwegian market has been hit by the development of tax incentives for electric vehicles, which prompted advance purchases last year, according to analysts cited by Reuters.
This improvement comes at a time when the European electricity market itself is recovering. Registrations for 100% electric vehicles increased by 39.1% in May, according to ACEA.
The manufacturer plans to increase production at its plant in Germany from 5,000 to 6,200 Model Ys per week from this summer, reaching 7,500 units per week from October. To support this growth, it is announcing the recruitment of 1,000 additional staff, following the first wave of 1,000 hires earlier this year.
The offensive doesn’t stop there. Tesla also plans to develop production of 4,680 cells in Grünheide, near Berlin, and has mentioned the creation of more than 1,500 additional jobs associated with this activity. This is definitely one of the rare pieces of good news in the difficult context that the European automotive industry is experiencing this year.
Last year, Tesla’s position in Europe weakened. The rise of Chinese manufacturers, the relative aging of the range, the difficult launch of the Model Y facelift and the fruitless controversy surrounding Elon Musk have weighed on sales. The Grünheide plant itself suffered the consequences of this downturn in the form of a temporary reduction in the workforce.
The page is turned, the facelifted Tesla Model Y is finding customers again and remains one of the most competitive cars in its segment, registrations are rising again in most major European markets, and Tesla is again beginning to invest heavily in its only car plant on the continent. All of this says a lot about Tesla’s newfound confidence in the European market and its ability to continue to establish itself despite increased competition.
Source: mirror.