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Tesla will produce batteries in Berlin, but one ingredient is missing

Tesla Giga Berlin will have a battery production facility and the question is simply when. Appropriately enough, when the company finds the help it needs to get the cell production part at the facility, Tesla will start producing batteries. The real disadvantage is the fact that the necessary talent is not available and the high turnover rate of employees can lead to a delay in the company’s plans to produce cells in Germany.

Jeffreys analyst Philip Huchoa asked Tesla CEO Elon Musk and senior vice president of Powertrain and Energy Engineering Drew Baglino what problems Tesla might face on its way to full cell production at the future German plant.

“Will the battery capacity match the amount of assembly volume you expect to come out of ̵

1; And if not, will you be able to send your battery needs outside Europe?” Or you will have to import batteries from outside Europe to secure production in Berlin, ”Hushoa asked the two Tesla contractors during the Q2 2020 call for proposals.

Musk confirmed that Giga Berlin will have production of cells that will handle the production load coming out of the facility, but Drew Baglino gave more details about what the delays could be. Tip: This is due to a lack of available talent.

Baglino added mostly Musk’s comment, confirming that there would eventually be a place for cell production in Berlin. However, it depends on when the company can gather a sufficient team to produce batteries in the new Gigafactory.

“The same goes for all areas of the cells, the supply chain, the production materials, the design, we solve this problem and treat it like any other problem we have solved. We will solve this problem, talented people will join us while we solve this problem, “Baglino said.

Once the workers get there, they have to stay. They can’t be in the “garden,” as Musk calls it.

“My biggest concern for getting our talented people is probably Berlin, because the mobility of the workforce in Europe is not so low. I would recommend changing this. “As someone wants to leave and join another company,” Musk said. “Sometimes they have to spend six months on garden leave. It’s called a garden, it hangs in the garden basically and like that it’s not a good use of people’s time. I mean, if they want to hang out in the garden, that’s fine, but it’s not good.

Interestingly, workers leaving Tesla to join other companies are a pertinent question. Tesla has filed a number of lawsuits, finally against fellow electric car maker Rivian, who accused the company of poaching. Tesla also has an open case with China-based Xpeng.

But anyway, Tesla needs manpower, and production jobs for Giga Berlin are in high availability, according to the company’s career page.

Earlier in the day, Musk and Baglino discussed the need for production workers who would be willing to help the company improve production lines.

Musk has long said that Tesla is looking for brilliant minds to help revolutionize the way the company makes vehicles. The CEO said that too many smart people eventually enter medicine or the law, and improvements in production are needed.

The lack of battery cells prevents Tesla from starting projects elsewhere. One of those projects was Tesla Semi, which Elon Musk indicated would begin “volume production” later this year.

The problem with the production of Semi in advance was the lack of batteries. But now that the company is openly committed to building a commercial truck in Giga Texas, there are indications that battery shortages are no longer a problem.

The cells are there, but the workers are not. Eventually, Tesla will build these cells in Germany. However, there must be a friendly team to deal with the workload, especially given that half a million vehicles a year will be disconnected from production lines starting in July 2021.

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