The federal government is funding U.S. electric carmaker Tesla to the tune of billions of euros. This was reported by “Businessinsider” at the beginning of the week, citing insiders from government circles. Tesla’s application for the “IPCEI” funding program of the Federal Ministry of Economics seems to have paid off.
Specifically, the battery cell factory in Grünheide is receiving funding. In addition to Tesla, 10 other companies are receiving funding. According to Businessinsider, the IPCEI program was once initiated to support European companies in key technologies so that they could take on the Chinese and U.S. competition – now, however, possibly the biggest competitor of Volkswagen, BMW & Co. will be awarded the contract.
The specific amount of funding is not yet known. However, several sources in government circles have reported that the amount is in the “single-digit billions.
The federal government is providing two-thirds of the funding and the state of Brandenburg one-third.
Production at the Gigafactory in Grünheide is scheduled to start in July. Production will include Model 3 and Model Y vehicles as well as various batteries and powertrains.
Meanwhile, the German government is confident and optimistic about Germany and Europe as a business location. Economics Minister Peter Altmaier, for example, said last week that the battery value chain is becoming a reality on European soil. This would not only lead to extensive investments, but also to numerous jobs with a secure future.
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