(Alliance News) - Tesla plans to increase its workforce at its only European car plant, located outside of Berlin, by 1,000 employees by the end of June, the company said on Thursday.

The expansion would bring total staff at the factory to about 11,700, Tesla told DPA.

The company said the goal was to raise weekly production by around 20% from the third quarter, citing increased demand for its Model Y SUV.

Tesla also expects to convert around 500 temporary workers into permanent positions over the course of the year.

In addition, recruitment has begun for several hundred roles in battery cell production, which is scheduled to start in the first half of 2027.

The Gigafactory Berlin-Brandenburg opened around four years ago in in the town of Grunheide.

Tesla boss Elon Musk has previously said he aims to significantly expand the site, potentially turning it into the largest factory complex in Europe, although expansion plans have been on hold due to market conditions.

They have also been met by protest over environmental concerns.

Tesla's global deliveries have come under pressure, in part due to the expiration of a US tax incentive under President Donald Trump.

The company is increasingly focusing on robotics and robotaxis and expects its advanced driver-assistance system to receive approval across the EU in the coming months.

On Wednesday, Tesla reported higher first-quarter profit and confirmed plans for increased investment.

During a conference call, the company outlined plans to spend more than USD25 billion in 2026, up from the January estimate of USD20 billion.

Tesla shares were down 3.3% at USD374.83 pre-market on Thursday in New York.

source: DPA

Copyright 2026 Alliance News Ltd. All Rights Reserved.