Tesla CEO Elon Musk announced Tuesday that the electric automaker's planned European factory will be located near Berlin, Germany.
Driving the news: It marks the Silicon Valley electric automaker's second international plant, joining a recently launched facility in China.
- Musk said the plant would build batteries, powertrains and cars, starting with the planned Model Y, a small SUV.
- The company hopes to have the plant running in 2021, according to multiple reports.
Why it matters: Tesla will "compete with some of the world’s biggest auto makers on their home turf," the WSJ notes.
- "The move takes the great electric car race to Volkswagen's backyard," CNN writes, noting VW's heavy investments in EVs.
What they're saying: “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," Gene Munster of the VC firm Loup Ventures tells Bloomberg.
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