Tesla's European Gigafactory Faces Production Halt

Tesla's European Gigafactory near Berlin experienced a production halt and power outage due to a suspected arson attack on an electricity pylon near the site early Tuesday.

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While the blaze was swiftly extinguished and didn't reach the Tesla facility, production was suspended, and the site evacuated, confirmed by a Tesla spokesperson.

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Shares of Tesla listed in Frankfurt witnessed a 2.5% decline following the incident, reflecting investor concerns over the disruption.

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A letter attributed to a far-left activist group, the Volcano Group, claimed responsibility for the attack, citing grievances against Tesla and CEO Elon Musk.

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Authorities are investigating the incident, including the authenticity of the letter. Brandenburg state Interior Minister Michael Stuebgen denounced the attack as a threat to the region's infrastructure.

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Tesla's expansion plans at the Gigafactory have faced resistance, with recent referendums and environmental protests hindering progress.

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Despite setbacks, Tesla aims to double the site's capacity for battery production and car manufacturing, positioning itself to dominate the European market. However, challenges persist as environmental activists continue to oppose expansion efforts.

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The suspected arson attack poses a challenge to Tesla's operations in Europe, highlighting the need for increased security measures. Stay updated on the latest developments by visiting our website.

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