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Tesla’s ‘preferential treatment’ justified by Brandenburg Environmental Minister

(Credit: Tesla)

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Tesla’s “preferential treatment” in Berlin has been attacked by numerous environmental groups who disagree with the automaker’s current construction project that is going on in the town of Brandenburg. Since the site’s initial groundbreaking and land preparation efforts in early 2020, citizens and “green” groups have come to pledge their distaste for Tesla’s introductory European production plant. However, local government officials are more than willing to come to justify Tesla’s presence in the area, especially as it provides a substantial economic boost to an area that thirsts for steady, well-paying manufacturing jobs. Brandenburg Environmental Minister Axel Vogel is just one of those politicians coming to Tesla’s rescue, justifying the company’s treatment in the area.

Since the announcement by CEO Elon Musk in late 2019 that provided some context of what would eventually become known as “Giga Berlin,” numerous voices have pushed back against Tesla’s efforts in Germany. Despite this, the company has made reasonable progress in the past 21 months. Tesla has managed to take what was once a regular plot of land covered in low-grade trees used for commercial cardboard production and transform it into one of Earth’s most impressive vehicle production facilities. At least that’s what will be there when the factory becomes operational in several months.

Until then, Tesla will continue building the factory, erecting several portions of the plant that will eventually house the production of the Model Y crossover and Tesla’s recently unveiled 4680 battery cells. The cells, a groundbreaking step in developing Tesla’s EV tech, will provide more range and power to Tesla’s eco-friendly vehicles.

Although Tesla vehicles have saved over 17.9 million tons of CO2 from entering the atmosphere alone, environmental groups are not convinced the company’s factory will provide stable and eco-friendly scenarios based on by-products of vehicle production. In fact, groups who have been identified as NABU and Gruene Liga recently stated that they are not interested in Tesla producing batteries at the plant because of potentially hazardous waste.

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Tesla ironically faces pushback at Giga Berlin from environmental groups

The groups told Reuters earlier this month:

“The objection is based on the claim that Tesla has not sufficiently clarified what precautions it will take to prevent highly poisonous gas from escaping from the factory, the objection document showed.”

Now, Brandenburg Environmental Minister Axel Vogel is coming to Tesla’s defense, giving them a justification for their preferential treatment regarding approved documents for certain elements of their factory.

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Vogel said (via Maz Online):

“We are convinced that it is right to give Tesla preferential treatment, because the Tesla site has an incredibly positive, Europe-wide impact.”

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Vogel recognizes the concrete impact that Tesla could have on the region when Giga Berlin begins operation. Not only is the plant going to supply local citizens with jobs that are secure, comfortable, and well paying, but the environmental impacts also align with the strict and ambitious climate goals that Europe and Germany have both set. The European Union has been plotting a ban for ICE vehicles in 2025, according to Euractiv, and Germany has a set target of 2030 for the date it will stop allowing pollution-emitting vehicles to roam the streets.

Environmental groups are concerned with the production of the vehicles, which will result in some pollutants. However, these groups could be protesting any automaker, or basically, any large company in the world as manufacturing does, unfortunately, result in emissions. However, after Tesla cars roll off of production lines, no emissions will leave the vehicle, as the company’s battery-driven powertrains make for the most environmentally friendly form of passenger transportation on Earth.

Joey has been a journalist covering electric mobility at TESLARATI since August 2019. In his spare time, Joey is playing golf, watching MMA, or cheering on any of his favorite sports teams, including the Baltimore Ravens and Orioles, Miami Heat, Washington Capitals, and Penn State Nittany Lions. You can get in touch with joey at joey@teslarati.com. He is also on X @KlenderJoey. If you're looking for great Tesla accessories, check out shop.teslarati.com

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Tesla Giga Berlin makes a statement of solidarity amid IG Metall conflict

The display comes as tensions between Tesla and IG Metall continue to escalate.

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Creidt: Andre Thierig/X

Tesla Giga Berlin is sending a strong message of solidarity amid its ongoing legal dispute with German union IG Metall.

In a post on social media platform X, Giga Berlin plant manager André Thierig shared an image of the facility’s lobby covered with a large banner that reads: “Progress. Innovation. Success.” He added that the slogan reflects what the facility has stood for since Day One.

“Our lobby at Giga Berlin covered in a huge banner these days. Progress. Innovation. Success – this is what we stand for since we started production in 2022 and how we will go into our future!” Thierig wrote in his post on X. 

The display comes as tensions between Tesla and IG Metall continue to escalate.

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The dispute began after Tesla accused a union representative of secretly recording a works council meeting at Giga Berlin. Tesla stated that it filed a criminal complaint after the alleged incident. Police later confirmed they had seized a computer belonging to an IG Metall member as part of their investigation.

“What has happened today at Giga Berlin is truly beyond words! An external union representative from IG Metall attended a works council meeting. For unknown reasons he recorded the internal meeting and was caught in action! We obviously called police and filed a criminal complaint!” Thierig wrote on X at the time

IG Metall denied the accusation and characterized Tesla’s move as an election tactic ahead of upcoming works council elections. The union subsequently filed a defamation complaint against Thierig. Authorities later confirmed that an investigation had been opened in connection with the matter.

Giga Berlin began production in 2022 and has since become one of Tesla’s key European manufacturing hubs, producing the Model Y, the company’s best-selling vehicle. The facility has expanded capacity over the past years despite environmental protests, labor disputes, and regulatory scrutiny.

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Tesla Megapack Megafactory in Texas advances with major property sale

Stream Realty Partners announced the sale of Buildings 9 and 10 at the Empire West industrial park, which total 1,655,523 square feet.

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Credit: Tesla

Tesla’s planned Megapack factory in Brookshire, Texas has taken a significant step forward, as two massive industrial buildings fully leased to the company were sold to an institutional investor.

In a press release, Stream Realty Partners announced the sale of Buildings 9 and 10 at the Empire West industrial park, which total 1,655,523 square feet. The properties are 100% leased to Tesla under a long-term agreement and were acquired by BGO on behalf of an institutional investor.

The two facilities, located at 100 Empire Boulevard in Brookshire, Texas, will serve as Tesla’s new Megafactory dedicated to manufacturing Megapack battery systems.

According to local filings previously reported, Tesla plans to invest nearly $200 million into the site. The investment includes approximately $44 million in facility upgrades such as electrical, utility, and HVAC improvements, along with roughly $150 million in manufacturing equipment.

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Building 9, spanning roughly 1 million square feet, will function as the primary manufacturing floor where Megapacks are assembled. Building 10, covering approximately 600,000 square feet, will be dedicated to warehousing and logistics operations, supporting storage and distribution of completed battery systems.

Waller County Commissioners have approved a 10-year tax abatement agreement with Tesla, offering up to a 60% property-tax reduction if the company meets hiring and investment targets. Tesla has committed to employing at least 375 people by the end of 2026, increasing to 1,500 by the end of 2028, as noted in an Austin County News Online report.

The Brookshire Megafactory will complement Tesla’s Lathrop Megafactory in California and expand U.S. production capacity for the utility-scale energy storage unit. Megapacks are designed to support grid stabilization and renewable-energy integration, a segment that has become one of Tesla’s fastest-growing businesses.

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Tesla Sweden strikers see tax issues over IF Metall union error

To address the issue, IF Metall is encouraging Tesla strikers to return the refunded tax amounts to the union.

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Credit: Tesla Europe

A tax correction is set to return two years of income tax payments to Tesla strikers in Sweden, after authorities determined that conflict compensation during a labor dispute should not have been taxed.

The issue is caused by a decision by IF Metall to treat strike compensation for Tesla workers as taxable income during the ongoing labor dispute with Tesla Sweden. That approach has now been reversed following guidance from the Swedish Tax Agency.

Strike compensation is typically tax-free under Sweden’s Income Tax Act, as noted in a report from Dagens Arbete (DA). However, two years ago, IF Metall’s board decided to classify payments to Tesla strikers as taxable.

“We did it to secure SGI, unemployment insurance and public pension. Those were the risks we saw when the strike had already dragged on,” Kent Bursjöö, financial manager at IF Metall, stated.

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According to Bursjöö, the union wanted to ensure that members continued to register earned income with the tax agency, protecting benefits tied to income history. At the end of January, however, the Swedish Tax Agency informed the union that compensation during a labor dispute must be tax-free.

“Of course, we knew that it could be tax-free. But we clearly didn’t know that it couldn’t be taxable,” Bursjöö said.

Following discussions with auditors and tax authorities, IF Metall began correcting the payments. As a result, two years of paid income tax will now be credited back to the affected strikers’ tax accounts. The union will also recover previously paid employer contributions.

However, the correction creates secondary effects. Since the payments will now be treated as tax-free, pension contributions tied to those earnings will be withdrawn, potentially affecting state pension accrual and income-based benefits such as parental or sickness benefits.

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To address this, IF Metall is encouraging members to return the refunded tax amounts to the union. In exchange, the union plans to pay 18.5% into occupational pensions on their behalf. “Otherwise, it will be a form of overcompensation when they get the tax paid back,” Bursjöö said.

That being said, the IF Metall officer acknowledged that the union’s legal ability to reclaim the funds from its improperly paid Tesla Sweden strikers is limited. “The legal possibilities are probably limited, from what we can see. But we assume that most people see the value of securing their pension,” Bursjöö said.

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