Tesla’s Giga Berlin faces production challenges amidst staff shortages: Report

Tesla’s Giga Berlin is reportedly facing production issues due to staff shortages, with the production rate at the plant recently falling below 4,000 Model Ys per week.

According to the most recent update from Tesla in March, Giga Berlin had achieved a production rate of 5,000 Model Y vehicles per week. However, it appears that this level of production was a one-off event, as internal documents and statements from Tesla employees indicate that the factory is struggling to maintain its production pace.

Internal documents seen by Business Insider reveal that the factory’s production targets have been revised downwards to 870 vehicles per day, or 4,350 cars per week, well short of the 5,000 cars per week achieved five months ago. However, even that rate has been difficult to achieve, as internal sources claim that the actual production rate is currently below 4,000 cars per week.

The primary reason behind these challenges is a shortage of workers within the factory, with existing employees complaining about heavy workloads, shifts going unfilled, and an increase in sickness rates. The recent decision to hire fewer temporary workers and to eliminate Saturday shifts have also had an impact.

The Model Y remains a popular choice among European consumers, earning the status as the best-selling car through the first five months of 2023, and while the production rate is apparently lower than anticipated, it appears to be enough to meet the demand. According to Tesla’s online configurator orders placed today for any variant of the Model Y in Germany are expected to be delivered in either August or September.

Tesla is moving ahead with plans for a significant expansion at Giga Berlin, which will double the factory’s annual production capacity, both in terms of electric vehicles (EVs) and batteries output. According to plans submitted to local authorities, the automakers wants to increase EV production at Giga Berlin from 500,000 vehicles to 1 million vehicles annually. Additionally, Tesla is wanting double the battery production output from 50GWh to 100GWh. You can read more about Tesla’s expansion plans through previously submitted documents here.

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