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VW Works Council Chair talks Herbert Diess and Tesla’s growing influence on German auto

(Credit: Volkswagen)

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Tesla is not yet producing electric vehicles at Gigafactory Berlin, but the EV maker’s presence is already being felt in Germany’s auto sector. According to sociologist Andreas Boes, director of the Munich Institute for Social Science Research (ISF), Tesla has practically become the “elephant in the room” during interviews with managers and experts from Germany’s auto industry. 

The sociologist looked into Tesla’s effects on the country’s auto industry on behalf of IG Metall, one of Germany’s most notable unions. During the Hannover Messe, Boes noted that the auto industry as the world knows it today would likely not exist in ten years due to changes being brought upon the segment. And Tesla, with its all-electric cars and unorthodox approach to car-making, is serving as the harbinger of change in the country’s auto sector. 

This change is already being embraced by some notable automakers, among them Volkswagen. Led by executives such as Herbert Diess, who has seen direct support from Tesla CEO Elon Musk, Volkswagen has dedicated a good part of its resources to its shift towards electromobility. As per a report from Welt, Diess regularly uses the competition from Tesla to put pressure on Volkswagen’s employees, and to help push the massive, legacy automaker towards the direction of sustainability.  

This strategy, however, has not sat well with the Chairman of the Volkswagen Group Works Council. In a statement to German media, Bernd Osterloh, the Works Council Chair noted that he disagrees with Diess’ optimism about Tesla. “I think the hype is an overstatement of Tesla’s actual situation,” Osterloh said. He also remarked that when it comes to things like the chassis, Volkswagen is simply better than the American EV maker.

Osterloh also spoke about Tesla’s lead in the EV sector. “Where Tesla is ahead of us at the moment – and the Volkswagen board doesn’t like that – is their own expertise within the company. They build their own chips and make their own software. We buy all that in,” the VW Works Council exec said

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Not all of Germany’s unions have taken a rather cold stance on Tesla. Thorsten Gröger, district manager of the Lower Saxony and Saxony-Anhalt trade union, noted that it is a positive sign when a company like Tesla settles in an area like Brandenburg. “Co-determination, collectively agreed working conditions make companies more innovative and more successful. I would advise Mr. Musk to recognize that,” Gröger said. 

Regardless of how Tesla is perceived among Germany’s auto veterans, the country’s shift to electric mobility has begun nonetheless. Apart from Volkswagen’s development and release of its ID line of vehicles, Daimler is also poised to present its long-awaited flagship all-electric sedan, the EQS, later this week. The vehicle, which would be priced at a premium and will likely compete with upcoming cars like the Model S Plaid and the Lucid Air, would be a key vehicle for Daimler’s immediate future. “We are at the forefront of movement with the vehicle… We are in the process of defining a segment,” Christoph Starzynski, Head of Electric Vehicle Architecture at Mercedes-Benz said. 

Don’t hesitate to contact us for news tips. Just send a message to tips@teslarati.com to give us a heads up.

Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Tesla CEO Elon Musk reveals new details about Robotaxi rollout

The first Tesla Robotaxi unit was spotted in Austin earlier today, and CEO Elon Musk is revealing some cool new details.

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Tesla CEO Elon Musk has revealed new details about the company’s relatively imminent rollout of the Robotaxi platform as the suspected launch date of June 12 continues to near.

Earlier today, the first video showing the first driverless Tesla Robotaxi in Austin was shared on X, just a day after the City officially listed the company as an autonomous vehicle operator on its website. Tesla is listed as a company in the “Testing” phase.

The initial details of the Robotaxi are being revealed by Musk, who is carefully releasing small tidbits that seem to show the capabilities of the entire Tesla fleet, and not necessarily just the vehicles that will be involved in the initial rollout in Austin.

First Tesla driverless robotaxi spotted in the wild in Austin, TX

His first tidbit is one that many Tesla owners and fans will already know: many Teslas are capable of this driveless performance, but Full Self-Driving is not yet refined to the point where the software is quite ready to handle it. Current versions are robust, but not prepared for driverless navigation. The hardware, however, will enable Teslas to be Robotaxis, even if they’re already purchased by owners:

This is one of the biggest advantages Tesla has over other vehicle makers. Simply put, the Over-the-Air software updates that will roll out to FSD users will eventually make their cars into Robotaxis as well.

However, Musk shed some details on the version of FSD that is being run in these new Robotaxis that were spotted. Musk said that the version these Robotaxis are running is a new version, but will soon “merge to main branch.”

There is also an even newer version that has four times the parameters as this newer version that the test-stage Robotaxis are using, but Musk admits that this needs significant refinement before it is released to the public.

As of now, Tesla is simply teasing the actual launch date of the Robotaxi program, but Bloomberg reported earlier this month that it will occur on June 12.

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First Tesla driverless robotaxi spotted in the wild in Austin, TX

The short clip suggests that Tesla may be ramping up its preparations for its robotaxi rollout in Austin.

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Credit: @TerrapinTerpene/X

A recent video posted on X has provided a first look at Tesla’s driverless robotaxi, which is expected to be deployed in Austin, Texas, this month. The vehicle was a new Tesla Model Y, which was followed by what appeared to be a manned chase car.

The short clip suggests that Tesla may be ramping up its preparations for its robotaxi rollout in Austin.

The First Robotaxi Sighting

It was evident from the short clip that the Tesla robotaxi was operating completely driverless. In the video, which was posted on X by @TerrapinTerpene, the driverless Tesla could be seen confidently making a turn. The vehicle looked and behaved like any other car on the road, save for the fact that there was no one in the driver’s seat.

Interestingly enough, the short video also provided a teaser on where Tesla will place its “robotaxi” logo on its self-driving cars. Based on the video, the robotaxis’ logo will be tastefully placed on the front doors, making the vehicles look sleek and clean.

Initial Rollout Imminent

Recent reports have suggested that Tesla is already starting the testing phase of its robotaxi service in Austin, Texas. Expectations are also high that Tesla’s initial fleet of self-driving vehicles will be utilizing a lot of teleoperation to ensure that they operate as safely as possible.

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Updates to Austin’s official website recently have hinted at Tesla’s robotaxi launch. Just this Monday, Tesla was listed as an autonomous vehicle (AV) operator on Austin’s official Department of Motor Vehicles (DMV). Other AV operators listed on the site are Waymo and Zoox, among others.

Elon Musk, for his part, has noted that by the end of June, the public in Austin should be ready to take rides in Tesla robotaxis without an invitation. He also noted in late May that Tesla has been busy testing driverless cars on Austin’s city streets without any incidents.

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Tesla Model Y proudly takes its place as China’s best-selling SUV in May

The Model Y edged out competitors like the BYD Song Plus.

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Credit: Tesla China

The Tesla Model Y claimed its position as China’s best-selling SUV in May, with 24,770 units registered, according to insurance data from China EV DataTracker

The Model Y edged out competitors like the BYD Song Plus, which recorded 24,240 registrations, as well as Geely’s gasoline-powered Xingyue L, which took third place with 21,014 units registered, as noted in Car News China report.

Return To The Top

The Model Y’s return to the top of China’s SUV market follows a second-place finish in April, when it trailed the BYD Song Plus by just 684 units. Tesla China had 19,984 new Model Y registrations in April, while BYD had 20,668 registrations for the Song Plus. 

https://twitter.com/daltybrewer/status/1932171519817621536

For the first five months of 2025, Tesla sold 126,643 Model Ys in China, outpacing the Song Plus at 110,551 units and BYD’s Song Pro at 80,245 units. This is quite impressive as the new Tesla Model Y is still a premium vehicle that is significantly more expensive than a good number of its competitors.

Year-Over-Year Challenges

Despite its SUV crown, Tesla’s year-over-year performance in China is still seeing headwinds. May sales totaled 38,588 units, a 30% year-over-year decline. From January to May, Tesla delivered 201,926 vehicles in China, a 7.8% drop year-over-year. These drops, however, are notably affected by the company’s changeover to the new Model Y in the first quarter.

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https://twitter.com/Tesla/status/1932171187700084910

Exports from Tesla’s Shanghai Gigafactory also fell, with 90,949 vehicles being shipped from January to May 2025. This represents a decline of 33.4% year-over-year, though May exports rose 33% to 23,074 units.

China’s electric vehicle market, meanwhile, showed robust growth. Total NEV sales, which includes battery electric vehicles (BEVs) and plug-in hybrids (PHEVs), reached 1,021,000 units in May, up 28% year-over-year. BEV sales alone hit 607,000 units, a 22.4% increase.

Considering the fact that China’s BEV market is extremely competitive, the Tesla Model Y’s rise to the top of the country’s SUV rankings is extremely impressive.

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