Tesla is planning to produce its upcoming €25,000 ($26,800) electric model at its German plant, according to insider sources. While the automaker has not made any official statements, the entry-level EV could be built in multiple factories around the world, with previous reports stating India and Mexico as possible locations.

Tesla’s German plant is located in Gruenheide, near Berlin, and currently produces the Model Y which is the best-selling EV in Europe. Elon Musk, Tesla CEO, allegedly shared the news about the local production of their new EV with factory workers during his visit to the “Giga Berlin” premises last Friday. According to Reuters, an unnamed source “with knowledge of the matter” confirmed Musk’s statement, but didn’t provide information on when production of the EV will commence.

More: Tesla’s $25,000 Car Will Have A Cybertruck-Like Futuristic Design

Rumors about the new affordable EV have been circulating the internet for years, but Tesla has yet to lock in a debut date. According to the latest reports, the company is now getting closer to an innovative technology that could lower production costs by die-casting most of the EV’s underbody in a single piece. Supplier information recently revealed that Tesla wants to produce 4 million units of the upcoming EV by 2030, increasing its total deliveries to 20 million vehicles by the same date.

Tesla’s Workers In Germany To Benefit From A Raise And Lots Of Art

A short video from Friday’s meeting that was uploaded on X, shows Elon Musk thanking all the Tesla employees in Gruenheide for their hard work in creating what he describes as one of the greatest factories in the world. In a separate post on his own X account, Tesla’s CEO announced that all of the concrete walls of the “Giga Berlin” will be covered with art.

Last week, the factory’s management announced a 4% wage raise for the 11,000 workers effective in November. This move follows pressure from unions who claim that Tesla workers in Germany are paid below the industry average, despite the 6% raise from last year. Insiders who spoke with the Wall Street Journal revealed that Tesla will pay its German workers a €1,500 ($1,613) bonus in December, and is plotting an additional €2,500 ($2,688) annual raise in 2024 starting from February.

Note: This story includes speculative illustrations that are neither related to nor endorsed by Tesla

Tesla’s $25,000 Affordable EV To Be Made In Germany
Illustration of a Tesla CyberSUV by Carscoops