Tesla CEO Elon Musk recently visited the company’s Gigafactory Berlin-Brandenburg plant in Germany and reportedly confirmed its forthcoming entry-level model will be produced there.

    This announcement was reported by Gigafactory Berlin News on X (formerly known as Twitter), with Teslarati reporting Mr Musk announced this during a meeting with plant staff.

    There have been rumours swirling for months now about where this new entry-level Tesla electric vehicle (EV) will be produced, including in Mexico and India.

    It’s entirely possible production of the forthcoming Tesla entry-level model could still be happening in these places as production at the Gigafactory Berlin-Brandenburg plant is reportedly for the European market only.

    Tesla’s German production plant currently produces the Model Y for the European market.

    The new Tesla model could also be produced in more locations including China, like where the Australian-specification Model 3 and Model Y are currently manufactured.

    In addition, Mr Musk confirmed during his visit to the Gigafactory Berlin-Brandenburg plant that the entire factory will be covered in art.

    At this stage it’s unclear when Tesla plans to start producing this new entry-level model at its German plant.

    A recent report from Chinese outlet LatePost said Tesla’s next-generation vehicles will enter production in Mexico in the first quarter of 2025.

    Tesla has confirmed it’s working on a smaller, more affordable vehicle to slot under the Model 3, as well as a robotaxi.

    The company said it already took 50 per cent of costs from its Model S and Model X to its Model 3 and Model Y, and wants to do it again.

    It has said past Tesla vehicles were designed first, then engineered, then manufactured. But with the next-generation model, it wants to bring the design, engineering and manufacturing teams together at the beginning.

    The company pointed out the inefficiencies of the traditional way of manufacturing a vehicle, saying it’s at “the tail end of its manufacturing optimisation” just over 100 years since Henry Ford opened his first assembly line.

    MORE: More affordable Teslas due in 2025
    MORE: Tesla could build its most affordable vehicle yet in India

    Jack Quick

    Jack Quick is an automotive journalist based in Melbourne. Jack studied journalism and photography at Deakin University in Burwood, and previously represented the university in dance nationally. In his spare time, he loves to pump Charli XCX and play a bit of Grand Theft Auto. He’s also the proud owner of a blue, manual 2020 Suzuki Jimny.

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