Tesla did not want to wait on EU aid
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© Reuters. FILE PHOTO – A Tesla logo can be seen on the vehicle’s body during the Auto Shanghai media day in Shanghai (China), April 20, 2021. REUTERS/Aly SongBERLIN, (Reuters) – Tesla (NASDAQ:), did not wish to wait for European authorities on funding to build its battery factory in Germany before moving forward with its construction. On Monday, Peter Altmaier (German Economy Minister) told Berliner reporters that he had no plans to delay the decision by European authorities on whether state financing would be approved for Tesla’s planned battery plant.
Tesla could have received up to 40% in state aid as a foreign business under the European Union’s programme for production promotion within the bloc.
According to the program, the U.S. could have received as much as 1.1 million euros ($1.24 trillion).
Tesla, under pressure from battery cell demand, decided that it was best to begin construction at Gruenheide in Berlin’s Gruenheide area.
Tesla has begun construction of its first European-made electric car factory, as well as an electrical battery plant on the same site. It is located in Brandenburg.
Authorities are still waiting for final permits to approve the site. It should be approved before the end the year.
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