TSLA Jan 2021 15.000 call

OPR - OPR Delayed Price. Currency in USD
244.64
0.00 (0.00%)
As of 11:23AM EDT. Market open.
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Previous Close244.64
Open244.46
Bid332.20
Ask338.15
Strike15.00
Expire Date2021-01-15
Day's Range244.46 - 244.64
Contract RangeN/A
Volume2
Open InterestN/A
  • Tesla picks Germany for first European factory
    Reuters Videos

    Tesla picks Germany for first European factory

    It was only January when Tesla founder Elon Musk broke ground on his first factory in China. Now the electric vehicle pioneer is adding Germany to his list of locations. Musk said late Tuesday (November 12) his firm would build a factory in Berlin, near the city's new airport. In a Tweet he said the plant would build batteries, powertrains and finished cars. The first vehicles off the line will be Tesla's new Model Y. It's a compact SUV designed to be more affordable than the company's current Model X. The news comes after Tesla posted a surprise quarterly profit last month. That sent its stock soaring. But the firm faces huge investment demands. Besides the factories in Germany and China, it's also developing new models including a pickup truck. Analysts say there's still a long way to go before Tesla proves it can be consistently profitable.

  • TheStreet.com

    Did Musk Mislead Investors in SolarCity Deal?

    Did Tesla TSLA founder and CEO Elon Musk and others on the company's board mislead investors on the viability of acquiring SolarCity for $2 billion?

  • Johnson Deploys Troops as Floods Bring Backlash: U.K. Votes
    Bloomberg

    Johnson Deploys Troops as Floods Bring Backlash: U.K. Votes

    (Bloomberg) -- Sign up to our Brexit Bulletin, follow us @Brexit and subscribe to our podcast.Boris Johnson deployed troops to flood-hit parts of northern England, as the threat of further rain underlined the risk of holding a general election in December. The prime minister faced criticism from opposition parties over his response, and got a frosty reception from some voters during a visit to affected communities. He’ll try to shift the focus back to campaigning with a speech in the key election battleground of the West Midlands later.Key Developments:Johnson speaks at 4.30 p.m., warning that a government led by Labour leader Jeremy Corbyn would offer “more political self-obsession and onanism”Corbyn said a Labour government would not allow a referendum on Scottish independence in its first termFormer Tory minister David Gauke urges voters not to back JohnsonCabinet minister Michael Gove says a majority Conservative government would get a free-trade agreement with the EU done by the end of the Brexit transition period in Dec. 2020Voters Quiz Johnson on Tory Funding Cuts (4:15 p.m.)During his visit to flood-hit areas of northern England, Boris Johnson has been meeting local residents -- and there have been some uncomfortable exchanges. In one clip posted by ITV, Johnson was asked about council funding cuts by his Conservative Party since the financial crisis.“Are you going to put it back, what’s been cut over austerity?” a woman asked. When Johnson started to reply about funds for flood relief, another resident interjected: “You’re not answering the question.”“We are increasing funding or councils, I don’t know the exact figures,” Johnson then said.The impact of almost a decade of austerity on local services in England was laid bare in a report by the Institute for Fiscal Studies on Wednesday. With councils concentrating resources on the most needy residents, services including housing, planning, transport and culture have seen their budgets slashed in half since 2009-10.Brutal Cuts to U.K. Local Services Laid Bare as Austerity EndsJudge Blocks Postal Strike During Election (2:40 p.m.)A London judge blocked a potential strike by Royal Mail Plc workers during the peak Christmas holiday season, which this year includes the Dec. 12 general election. The Communication Workers Union members voted 97% in favor of action, but Royal Mail complained of “potential irregularities” in the ballot.The court’s decision removes the risk that large numbers of postal votes could be caught up in strike action ahead of the general election.Brexit Cost U.K. Tesla’s Gigafactory (2:30 p.m.)There was bad news for Boris Johnson’s claim that Brexit will unleash commercial opportunities, as Elon Musk said Tesla Inc. has rejected the U.K. as “too risky” for its European gigafactory.The U.K. was once a candidate for the company’s research and manufacturing facilities, Musk said as he announced he has opted for Germany instead. The uncertainty around the U.K. leaving the European Union made it far too risky a proposition, he told Auto Express.Corbyn: No Scottish Referendum in First Term (12:10 p.m.)Jeremy Corbyn said a Labour government would not allow a referendum on Scottish independence in its first term.“No referendum in the first term for a Labour government because I think we need to concentrate completely on investment across Scotland,” Corbyn said in pooled comments. “I’m very clear that a Labour government’s priority is investment in Scotland.”The issue is a key one because Boris Johnson’s Conservatives have repeatedly said a vote for Corbyn means a vote for two referendums next year -- one on Brexit and one on Scottish independence.Lib Dems See Boost in Farage Pullback (11:45 a.m.)The Liberal Democrats are trying to cash in on Nigel Farage’s decision to pull Brexit Party candidates out of Conservative-held seats.In an interview, party leader Jo Swinson said Farage’s gambit makes it easier for her party to appeal to moderate Tory voters who are appalled by the association with the Brexit Party. She’s also keen to remind voters that U.S. President Donald Trump urged Farage and Johnson to work together.Read more: U.K.’s Liberal Democrats See Opportunity in Brexit Party RetreatVoter to Johnson: Flood Aid ‘Too Late Now’ (10:15 a.m.)Boris Johnson’s visit to flood-stricken areas of northern England has not yet produced the kind of footage the prime minister will have been hoping for.Walking around with reporters and TV cameras in tow, he asked a local woman: “What more can we do?”“It’s a little bit too late now,” she replied, filming the encounter on her smartphone. Another voter declined to discuss the issue with Johnson, turning away when the premier approached.Speaking to Sky News, Johnson said there’s “a lot more still to be done” to help areas affected by flooding, and to prevent recurrences.Labour Pledges ‘Rescue Plan’ for NHS (10 a.m.)The opposition Labour Party pledged to end what it described as a “crisis” in the state-run National Health Service with a funding boost of 26 billion pounds ($33.4 billion). The increase in health spending by an average 4.3% a year will be funded by higher taxes on businesses and the wealthiest taxpayers, Labour said in an emailed statement. The party said it represents 6 billion pounds more in real terms than the government announced last year.“The world-class health service we all need and depend on needs proper funding,” Labour’s economy spokesman John McDonnell will say in a speech in London on Wednesday, according to the party. “Labour’s policies to tax the richest in society and invest for the future through our Social Transformation Fund mean we will be able to improve millions of lives.”Johnson to Vow to End Brexit ‘Groundhoggery’ (9:40 a.m.)In a speech later on Wednesday, Boris Johnson will vow to end the “groundhoggery” of Brexit if he wins a majority in the Dec. 12 election and “unleash Britain’s potential” with a clean energy revolution.“We can get out of the rut,” Johnson will say, according to lines briefed by his office. A coalition formed by Labour Party Leader Jeremy Corbyn and Nicola Sturgeon’s Scottish National Party lies in wait for the U.K. if the Tories don’t succeed, he’ll say.“The country can either move forwards with policies that will deliver years of growth and prosperity, or it can disappear into an intellectual cul-de-sac of far-left Corbynism,” Johnson will say. “We can honor the wishes of the people, or else we can waste more time, at the cost of a billion pounds per month, and have two more referendums, one on Scotland and one on the EU -- an expense of spirit and a waste of shame, more political self-obsession and onanism.”Gove: Tory Majority Only Way to Get Brexit Done (8:30 a.m.)Cabinet minister Michael Gove disputed David Gauke’s assertion (see 7:30 a.m.) that voting for the Conservatives risked a hard split from the European Union. During his broadcast round, Gove told the BBC that Gauke was “precisely wrong” and said a parliamentary majority for the Tories would allow the government to deliver a free-trade agreement with the EU by the end of 2020.“The only way we can get Brexit done and move on with the people’s priorities, investing in policing and education, is by making sure that we have a functioning majority government,” Gove said. He said politicians’ warnings of a no-deal Brexit at the end of 2020 are attempts to “raise bogeys and make people’s flesh creep.”Gove also addressed the flooding in northern England that has rapidly become a key campaign issue. He said the government is releasing extra funds to help affected communities. “It’s certainly an emergency and it deserves a national response.”Gauke: A Vote for Johnson Means ‘Hard Brexit’ (7:30 a.m.)Former Tory Cabinet minister David Gauke urged voters not to support Boris Johnson, warning that “a Conservative majority after the next election will take us in the direction of a very hard Brexit.” Gauke told BBC radio it’s doubtful a free-trade deal with the European Union can be negotiated by Dec. 2020, when the Brexit transition period is due to end.“I think in reality the prime minister is so boxed in that the Conservative Party would not allow him to extend the implementation period even if he wanted to -- and he shows no signs of wanting to do so,” said Gauke, who plans to stand as an independent candidate.Gauke also said he’s “impressed” by Liberal Democrat leader Jo Swinson. “I think if I was living in a lot of constituencies, I would lend my vote to the Liberal Democrats.”Earlier:Johnson Asks Troops to Fight Floods as Weather Hits U.K. BallotU.K. Recent Election Polls Summary: Conservative 40%, Labour 29%Brexit Bulletin: Johnson Told He Can’t Avoid EU ResponsibilitiesJohnson Aims Not to Be Swept Away By Floods: U.K. Campaign TrailTo contact the reporters on this story: Alex Morales in London at amorales2@bloomberg.net;Kitty Donaldson in London at kdonaldson1@bloomberg.netTo contact the editors responsible for this story: Tim Ross at tross54@bloomberg.net, Stuart Biggs, Thomas PennyFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.

  • Brexit drove Tesla to pick Berlin over Britain for new factory: report
    Reuters

    Brexit drove Tesla to pick Berlin over Britain for new factory: report

    Britain missed its chance to host the first European factory of U.S. electric vehicle pioneer Tesla because of Brexit, Chief Executive Elon Musk said in remarks reported on Wednesday. The company had earlier said it chose a location near Berlin for a new design centre and plant to make batteries, powertrains and vehicles, offering a major boost to the German capital. Berlin's minister in charge of economic affairs, Ramona Pop, said the move could create 6,000 to 7,000 jobs in production alone, with hundreds or even thousands more in areas such as design, software or research.

  • Reuters

    UPDATE 1-Germany welcomes Tesla's Berlin move as boost to e-car shift

    The German government on Wednesday welcomed Tesla's decision to set up shop in Berlin, a move it believes will turbo-charge the country's shift into the electric car era even as costs of running a business in Europe's largest economy remain high. The decision, announced by Tesla Chief Executive Elon Musk late on Tuesday, will see the U.S. electric vehicle pioneer build its first European factory and design centre near Berlin.

  • Elon Musk’s German Factory Started With Love Letter From Berlin
    Bloomberg

    Elon Musk’s German Factory Started With Love Letter From Berlin

    (Bloomberg) -- When Elon Musk tweeted last year that Germany was a front-runner for Tesla Inc.’s first European car factory, it sent politicians into a frenzy to win over the billionaire.Berlin’s economy minister, Ramona Pop, responded with a two-page letter that waxed lyrical about Musk as a pioneer and visionary and offered financial sweeteners to attract him to a city bustling with a vibrant tech scene and a network of auto research institutes. She even floated access to a nearby race track where Tesla could take its cars for a spin.As the beauty contest gained momentum, it turned into a battle. Two federal states that border France also touted their virtues. Musk already had a connection with that part of Germany from his purchase of an automation company there a few years ago. There’s also Berlin’s patchy track record shouldering large infrastructure projects -- its new airport remains a mothballed mess, years behind schedule and massively over budget.Yet when Musk’s Gulfstream jet touched down in the German capital early this week, his mind was made up: the European gigafactory would sit on the outskirts of Berlin, with an additional engineering and design center within the city limits. Musk casually dropped the news at a red-carpet award populated by the top brass of Germany’s car industry, including the CEOs of BMW AG and Volkswagen AG, two companies pushing hard into an electric future.“There was very intense competition in recent months among different European nations,” Economy Minister Peter Altmaier told reporters on Wednesday in Berlin. “It’s an important and positive development that Germany was chosen.”Mounting PressureMusk is taking his fight for the future of transport into the heartland of the combustion engine, where the established players long laughed off Tesla as an upstart on feeble financial footing that couldn’t compete with their rich engineering heritage. But Musk has captured the imagination of the think-different consumer, putting pressure on the Germans to respond. Volkswagen has pulled out all the stops, earmarking more than 30 billion euros ($33 billion) to develop the industry’s largest fleet of electric cars.The choice of Berlin and its surrounding area hands Musk several advantages, not least free money in form of subsidies. There’s the proximity to a government keen to sponsor the industry’s transformation. Labor costs in eastern Germany are generally lower than in the traditional engineering hubs in the southern part of the country. And Berlin, where new startups are founded each day, is an attractive place to live for the tech workers Tesla would seek to attract for its design center.The area where Tesla plans to put the factory, called Gruenheide just east of Berlin in the state of Brandenburg, provides quick access via the Autobahn and a link to public transport. It’s a site that BMW had considered before choosing the city of Leipzig a few hours south for a new factory in 2001, the last time a car company built a major new facility in Germany.Roller-CoasterThe government in Brandenburg, one of five federal states in the former communist east, also lobbied hard to win over Musk, offering at least 100 million euros in aid. The state’s negotiators kept up the pressure in the past months, touting Brandenburg’s proximity to Berlin, its skilled labor force and an abundance of clean-energy plants, Premier Dietmar Woidke said.“Berlin can do a lot that we aren’t able to, and we can do a lot that Berlin can’t,” Woidke told reporters in Potsdam. “Together, that’s an unbeatable mix.”Officials in Brandenburg described the negotiations with Musk as an emotional roller-coaster ride, with the politicians struggling to read the billionaire’s intentions. But by last week, things were looking up. After Musk arrived in Berlin, he toured the location where the factory would sit, and he took a local train back to central Berlin to try for himself how long the commute might take.Fresh from his experience building a factory in China, Musk had a demand that was as clear as it was hard to execute for notoriously bureaucratic Germans: to build the site as swiftly as the one in Shanghai, according to Brandenburg’s economy minister, Joerg Steinbach. That caused considerable consternation among officials still chafing from the new-airport debacle.Shanghai FactoryTesla long relied on a single assembly plant, based in Fremont, California, for its car production. The company is on the verge of starting sales of Model 3s produced at its latest facility, near Shanghai, which it erected in record time. Musk estimated earlier this year that Tesla’s European gigafactory probably won’t be operational until 2021.The factory will make batteries, powertrains and vehicles, beginning with the Model Y crossover unveiled earlier this year, he said in a tweet. It’s also expected to churn out the Model 3, which beat out BMW and Audi for the award Tuesday night.With Tesla adding as many as 10,000 jobs to Berlin and the region, according to Bild, it’s also a boon for the German capital and its burgeoning tech scene. Famously labeled “poor but sexy” by a former Berlin mayor, the city has thrived in recent years thanks to a steady influx of young entrepreneurs and IT professionals attracted by the capital’s mix of affordable housing (the city just announced a rent freeze), top-notch universities, and homegrown tech successes including fashion retailer Zalando SE and food delivery startup Delivery Hero SE.In the last five years, Berlin’s population has grown by almost 50,000 annually, underscoring its attraction that can’t be matched by cities like Stuttgart, home to Daimler AG and Porsche, or Wolfsburg, where Volkswagen is based. As a sweetener, the Berlin government offered locations including the site of the existing Tegel airport for Tesla’s design center.Tech HubsThe appeal of Berlin hasn’t been lost on Musk’s rivals. Virtually all the major German carmakers have created tech hubs, and dozens of local startups are active in fields including artificial intelligence, 3D printing and autonomous driving. Tesla will have to compete for local talent with U.S. tech giants including Apple Inc., Oracle Corp., Google and Amazon.com Inc., which is preparing to move into Berlin’s highest office building by 2023 in the rugged-yet-fashionable Friedrichshain-Kreuzberg district.“The Berlin location, home to an ever growing co-working, digitally focused, young programming demographic, has already proved why many German OEMs such as Volkswagen, Porsche, BMW and Daimler are opening digital offices on the Spree” river, said Matthias Schmidt, an independent automotive analyst in Berlin.All the jubilation notwithstanding, Berlin and Brandenburg have their work cut out to build a new home for Tesla. The region lost most of its heavy industry during World War II, and much of what remained after the war was ground up by the country’s separation. Siemens AG is the only global company with a sizable manufacturing footprint in Berlin.And the sprawling new airport, still under construction, is a massive blemish on the region’s record of getting big projects off the ground. It’s an ignominy that was on the U.S. billionaire’s mind when he followed his announcement with an appeal to get the job done.“We definitely need to move faster than the airport,” Musk said.\--With assistance from Iain Rogers, Oliver Sachgau, Christoph Rauwald and Chris Reiter.To contact the reporters on this story: Stefan Nicola in Berlin at snicola2@bloomberg.net;Birgit Jennen in Berlin at bjennen1@bloomberg.netTo contact the editors responsible for this story: Anthony Palazzo at apalazzo@bloomberg.net, Benedikt KammelFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.

  • Oilprice.com

    Tesla’s Newest Gigafactory Is Heading To The Heart Of Europe

    Tesla is set to build a gigafactory in Germany as the company continues to target international sales, with Musk adding that outstanding German engineering is part of the reason

  • Dow Jones Stumbles On U.S-China Impasse; Tesla Jumps On New Gigafactory
    Investor's Business Daily

    Dow Jones Stumbles On U.S-China Impasse; Tesla Jumps On New Gigafactory

    The major stock indexes traded modestly lower early Wednesday on U.S.-China trade news. Tesla jumped after announcing a new gigafactory.

  • Tesla and Berlin Are a Perfect Match
    Bloomberg

    Tesla and Berlin Are a Perfect Match

    (Bloomberg Opinion) -- Elon Musk’s announcement that Tesla Inc. will build a factory and a research center near Berlin makes perfect sense as a loud statement. Berlin isn’t known as a car city but it does have a vigorous tech scene and Tesla isn’t so much a car company as a tech one. But it’s also reasonable from other points of view.Musk, who has spent some time deciding on a European factory location, has decided on Gruenheide in Brandenburg, the German state that surrounds Berlin, and the research facility is to be located near Berlin’s yet-to-open new international airport.That the new factory should be in Germany is logical. Germany is Europe’s biggest market for electric vehicles and the one with the biggest potential. Germany is Europe’s most populous country, Germans are in love with cars and worried about the environment, as evidenced by the recent electoral successes of the Greens.It also matters that Germany is a country with some of Europe’s strongest incentives for electric car buyers. It recently decided to increase the maximum subsidy for buyers of battery vehicles to 6,000 euros ($6,600) from 4,000 euros and extend it until 2025. France, Italy and Slovenia offer roughly as much. One could regard Musk’s move as a cheeky foray into the land of its top competitors. Volkswagen AG has launched an all-out electrification strategy that pits it directly against Musk’s mass-market hope, the Model 3 (which apparently won’t be made at the new Berlin factory, at least to start with). In September, the German giant launched the ID.3, the first car on its new platform meant for electric vehicles. Berlin is flooded with electric Golfs that VW made available this year for WeShare, the company’s nascent car-sharing operation. And even before VW starts turning out tens of thousands of cars especially developed as EVs, the e-Golf is already among the Model 3’s strong competitors in Germany, along with Bayerische Motorenwerke AG’s somewhat clunkier i3 and some other European electric cars.But then, it makes sense to keep close to the competition, work with the same suppliers and be able to poach star managers, engineers and designers. Tesla isn’t the cheeky challenger here — the German automakers are, when it comes to EVs. Musk, in a sense, is buying insurance against being overtaken technologically. That could even justify the large differential in workers’ wages: While the average Tesla assembly worker at in California makes $18 per hour, the lowest-paid German auto worker makes about 27 euros per hour, almost $30. There’s also some symbolism to Tesla’s move into Berlin in particular. The capital city was the first German location for Ford, which started assembling Model T’s there in 1926, not fearing competition from German automakers who were slower to catch on to mass production.  And yet Berlin and its surrounding area aren’t obvious locations for an auto industry operation. Though BMW makes motorcycles in Berlin, Daimler AG has production sites both in and outside the city and VW has a design center in Potsdam, most of Germany’s car production, engineering and design take place elsewhere.  Instead, Berlin has a flourishing startup culture. According to Deutscher Startup Monitor, 16% of Germany’s startup companies are located in Berlin. Only the country’s most populous state, North Rhein-Westphalia, has a bigger share. And when it comes to the number of tech workers, Berlin has more of them per 100,000 residents than any German state except Hamburg and Hesse. Arguably, as a European tech hub the German capital ranks second only to London and possibly Paris. Musk said Brexit ruled out the U.K. as a potential site, and France has such restrictive labor laws that it’s difficult to imagine Tesla opening a 10,000-job operation there when there are other choices.“Berlin rocks,” Musk said as he announced Tesla’s plans.On the other hand, it could be argued that the heart of the automotive industry is shifting east, and it won’t be beating too far from Berlin in the near future. Zwickau in Saxony, three hours’ drive from the capital, is where VW has started production of the ID.3. Saxony is an emerging auto-industry hub that includes BMW and Porsche factories; IG Metall, the  labor union that represents many auto workers, counts Saxony as  part of the same area as Berlin and Brandenburg.  In other words, Musk’s choice of Tesla’s next production and development site is a considered one, even if an impulse to take the battle to Tesla’s deep-pocketed German challengers on their home turf has played an obvious role.To contact the author of this story: Leonid Bershidsky at lbershidsky@bloomberg.netTo contact the editor responsible for this story: Jonathan Landman at jlandman4@bloomberg.netThis column does not necessarily reflect the opinion of the editorial board or Bloomberg LP and its owners.Leonid Bershidsky is Bloomberg Opinion's Europe columnist. He was the founding editor of the Russian business daily Vedomosti and founded the opinion website Slon.ru.For more articles like this, please visit us at bloomberg.com/opinion©2019 Bloomberg L.P.

  • Reuters

    UPDATE 1-PM Johnson will pledge to get Britain out of Brexit rut

    On a campaign trip to central England, Johnson will reiterate that only he can break the deadlock over Britain's departure from the European Union. The election was called to end three years of disagreement over Brexit that has sapped investors' faith in the stability of the world's fifth largest economy and damaged Britain's standing since it voted in a 2016 referendum to leave the EU. "The UK is admired and respected around the world but people are baffled by our debate on Brexit and they cannot understand how this great country can squander so much time and energy on this question and how we can be so hesitant about our future," Johnson will say, according to his office.

  • Tesla Picks Germany for European Gigafactory
    Bloomberg

    Tesla Picks Germany for European Gigafactory

    (Bloomberg) -- Want the lowdown on European markets? In your inbox before the open, every day. Sign up here.Elon Musk picked a glitzy event in Germany, a few hours’ drive from the birthplace of the internal combustion engine, to drop the news before some of the world’s biggest car bosses: Tesla Inc. plans to set up shop in their backyard.The billionaire chief executive officer announced Tuesday that Tesla will expand its global manufacturing network with a factory near Berlin. At a red-carpet awards ceremony attended by the heads of BMW AG, Volkswagen AG and Audi AG, he said the company will also establish an engineering-and-design center.“Some of the best cars in the world are obviously made in Germany,” Musk said while accepting a trophy for the Model 3, which beat out BMW and Audi sedans for midsize car of the year. He said the country is “not that far behind” in electric cars, while also acknowledging that the market for them is “unproven.”The news wasn’t completely out of left field -- Musk has said before that Tesla would announce the location for a factory in Europe before the end of this year, and that Germany was a front-runner. But it nonetheless bolstered the CEO’s flair-for-the-dramatic reputation. Fresh off a surprise profit report that sent Tesla shares surging, he threw down the gauntlet in front of rival executives that no longer dismiss his company as a niche automaker.“Elon Musk has an ability to make a splash,” said John Boyd, principal of an eponymous manufacturing site-selection firm based in Princeton, New Jersey. “Not only does Germany bring top-level manufacturing skill sets and positive supply chain dynamics to the table, but there is a cachet value to Tesla establishing a brick-and-mortar presence in Germany -- a nation synonymous with precision car manufacturing.”Tesla shares traded up as much as 1.7% shortly after the start of regular trading Wednesday in New York, rising a sixth straight day. The stock closed Tuesday at $349.93, the highest in 11 months.Making a StatementMusk has until now relied on a single auto assembly plant in Fremont, California, to build a $63 billion company. That facility is supported by the first of the company’s so-called gigafactories near Reno, Nevada, that makes batteries. Tesla is on the verge of starting sales of Model 3s produced at its latest production facility, near Shanghai.While adding a European factory raises the stakes for established automakers already facing a serious threat from the electric upstart, it’s likely going to take time for the plant to get up and running. Musk estimated earlier this year that Tesla’s European gigafactory probably won’t be operational until 2021.“The Berlin location serves two unique goals,” said Gene Munster, a managing partner at venture capital firm Loup Ventures. “It’s strategic to lure German automotive talent to Tesla, and it’s a statement that Elon wants to one-up auto companies from that region.”The gigafactory will be located near Gruenheide, just outside Berlin in eastern Germany, according to Tagesspiegel newspaper -- near the coming Berlin Brandenburg Airport. It’s expected to produce both the Model Y and Model 3.For Tesla’s design center, Berlin has offered locations including the site of the existing Tegel airport, which will be phased out after the new hub is opened, according to a letter from the city’s economy minister. Around 10,000 jobs will be created, Bild reported.Tesla’s modest presence in Berlin now includes a store and service center near the Schoenefeld airport, and showrooms near Potsdamer Platz and on the West Berlin shopping boulevard Kurfuerstendamm.While the future of Germany’s electric-car market looks crowded, the politics of shifting away from the internal combustion engine also are going to be messy. Daimler AG, the maker of Mercedes-Benz cars, is running into labor-union resistance over where future electric cars will be produced ahead of a critical meeting with investors Thursday in London. Audi, the biggest profit contributor to Volkswagen AG, faces similar fights over safeguarding employment at its main German factories that specialize in sedans and station wagons.Chancellor Angela Merkel’s government and local automakers have agreed to boost incentives for EVs, intensifying Germany’s effort to move away from the combustion engine to reduce exhaust emissions. Still, building vehicles in a country that has some of the highest labor and energy costs worldwide is bound to be a challenge. European customers also expect a network of dealers and repair shops to reliably handle maintenance and repair work, which Tesla has struggled with lately.“There was very intense competition in recent months among different European nations,” Economy Minister Peter Altmaier told reporters in Berlin, adding that subsidies haven’t been discussed. “It’s an important and positive development that Germany was chosen.”Demand BoostAdding production in Germany and China will probably help Musk boost Tesla’s sales in those regions, according to Kevin Tynan, a Bloomberg Intelligence auto analyst. “The sustainability of the demand will be more the question,” he said. “And if local competition becomes real competition, it will be more difficult.”Merkel’s government announced last week that cash incentives will jump by 50% to as much as 6,000 euros ($6,680) per electric vehicle, with the auto industry covering half the cost. The changes will take effect this month and run through 2025.For Musk, choosing greater Berlin for a factory was “surprising but not fallacious,” said Ferdinand Dudenhoeffer director of Center for Automotive Research at the University of Duisburg-Essen. Battery-cell manufacturing requires space, infrastructure and subsidies, and the city is a good fit for a premium brand like Tesla’s, he said.Shortly after dropping the news, Musk sent out a pair of tweets to make sure it wouldn’t be missed by his 29.3 million Twitter followers. He said the factory will make batteries and powertrains in addition to cars, beginning with the Model Y crossover unveiled earlier this year.(Updates shares in sixth paragraph)\--With assistance from Gabrielle Coppola, Chris Reiter, Birgit Jennen, Iain Rogers and Stefan Nicola.To contact the reporters on this story: Christoph Rauwald in Frankfurt at crauwald@bloomberg.net;Dana Hull in San Francisco at dhull12@bloomberg.netTo contact the editors responsible for this story: Craig Trudell at ctrudell1@bloomberg.net;Anthony Palazzo at apalazzo@bloomberg.netFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.

  • Brandenberg premier: Any support for Tesla will be in accordance with EU rules
    Reuters

    Brandenberg premier: Any support for Tesla will be in accordance with EU rules

    The premier of the Brandenburg state that surrounds Berlin said on Wednesday any support for U.S. electric vehicle pioneer Tesla - which has said it will build its first European factory near Berlin - would be in accordance with EU rules. "We're operating within the framework of the European Union's state aid rules," Dietmar Woidke told regional broadcaster rbb. "That applies to all European countries - that's our framework.

  • [video]Elon Musk, Tesla Board Misled Investors in SolarCity Deal - Report
    TheStreet.com

    [video]Elon Musk, Tesla Board Misled Investors in SolarCity Deal - Report

    Tesla founder and CEO Elon Musk misled investors in suggesting that buying solar panel producer and distributor SolarCity for $2 billion almost three years ago was a good long-term move for the electric car company, a report says.

  • Elon Musk says he chose Berlin over U.K. for Tesla battery factory due to Brexit
    MarketWatch

    Elon Musk says he chose Berlin over U.K. for Tesla battery factory due to Brexit

    There are certainly good reasons for picking Germany, and Berlin in particular, as a site for a battery plant and a research-and-development center for Tesla Inc. A reporter for the BBC, Faisal Islam, tweeted that one issue Brexit raises for Tesla in particular is whether parts produced in the U.K. would qualify as E.U. content.

  • Tesla's 'Made in Germany': Musk sets up shop in Berlin
    Reuters

    Tesla's 'Made in Germany': Musk sets up shop in Berlin

    Tesla will build its first European factory and design centre near Berlin, giving the U.S. electric car pioneer the coveted "Made in Germany" label just as local rivals Audi, BMW and Mercedes prepare to launch competing cars. Tesla Chief Executive Elon Musk announced the move at a prestigious German car awards ceremony late on Tuesday and said the new plant would make batteries, powertrains and cars - starting with the Model Y sports utility vehicle. You know that is part of the reason why we are locating Gigafactory Europe in Germany," Musk said at the ceremony in Berlin.

  • Reuters

    UPDATE 7-Tesla's 'Made in Germany': Musk sets up shop in Berlin

    Tesla will build its first European factory and design centre near Berlin, giving the U.S. electric car pioneer the coveted "Made in Germany" label just as local rivals Audi, BMW and Mercedes prepare to launch competing cars. Tesla Chief Executive Elon Musk announced the move at a prestigious German car awards ceremony late on Tuesday and said the new plant would make batteries, powertrains and cars - starting with the Model Y sports utility vehicle.

  • Investing.com

    Stocks - Canada Goose, Tesla Rise Premarket; Amazon, Smile Direct Club Fall

    Investing.com - Stocks in focus in premarket trading on Wednesday:

  • Benzinga

    Tesla's Chinese Competitor Raises $400M

    Chinese electric vehicles maker Xiaopeng Motors has raised $400 million in a Series C funding round, the company said in a  statement  on Tuesday. What Happened Xiaopeng Motors, better known as Xpeng, ...

  • Benzinga

    Tesla To Open A Gigafactory In Berlin

    Tesla Inc (NASDAQ: TSLA ) is planning its fourth gigafactory to be located in Berlin, Elon Musk confirmed at an event in Germany on Tuesday. What Happened “Everyone knows that German engineering is outstanding, ...

  • Financial Times

    FirstFT: Today’s top stories

    of the trade war with China, saying US tariffs on Chinese goods would be “raised very substantially” if no truce was reached with officials in Beijing. The comments by the president, in a speech at the Economic Club of New York, highlight the trouble the US administration is having in its efforts to strike an interim deal with China that would bring a halt to the commercial conflict afflicting the world’s two largest economies. Mr Trump said a “significant phase one deal with China” remained “close” and “could happen soon”, as Beijing was “dying to make a deal”.

  • Electric-Car Maker Xpeng Raises $400 Million From Xiaomi, Others
    Bloomberg

    Electric-Car Maker Xpeng Raises $400 Million From Xiaomi, Others

    (Bloomberg) -- Chinese electric-car maker Xpeng Motors Technology Ltd. has raised $400 million from investors including technology company Xiaomi Corp., as it seeks a spot among China’s more serious contenders in the market.Private-equity firms and individual investors including founder He Xiaopeng also took part in the funding round, the company said Wednesday in a statement.The startup said in June it has produced 10,000 units of its G3 sport utility vehicle, putting it in competition with local rivals such as NIO Inc. and global competitors including Tesla Inc. in the world’s biggest EV market.Yet demand in China is sputtering, with EV sales falling for months since the government cut subsidies earlier this year. The slump has raised speculation among investors that only a small fraction of China’s aspiring electric-car makers will survive.Xpeng is working with Xiaomi in developing technologies connecting smartphones with vehicles. Xpeng’s backers also include ecommerce giant Alibaba Group Holding Ltd.The carmaker said it also secured “several billions” of yuan in unsecured credit lines from China Merchants Bank Co., China Citic Bank Corp. and HSBC Holdings Plc.To contact the reporters on this story: Ville Heiskanen in Singapore at vheiskanen@bloomberg.net;Chunying Zhang in Shanghai at czhang714@bloomberg.netTo contact the editors responsible for this story: Young-Sam Cho at ycho2@bloomberg.net, Ville Heiskanen, Will DaviesFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.