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Volkswagen launches new factory to expand electric vehicle production network

Start der Produktion des ID.4 in Emden.

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Volkswagen announced on Friday that it had officially started production of the ID.4 all-electric crossover at a new facility in Emden, Germany. The plant is the newest electric vehicle manufacturing facility for Volkswagen and is another step in the automaker’s plan to expand its global manufacturing footprint for electric vehicles.

On Friday, Volkswagen said it was pressing ahead with its plans to transition to electric mobility by expanding its global production network. The expansion was marked with the start of ID.4 production at its new site in Emden, Volkswagen’s second facility for manufacturing electric vehicles in Germany following its Zwickau plant.

Volkswagen’s Emden Plant (Credit: Volkswagen)

Volkswagen said it will also launch production of EVs at two other facilities this year, one in Chattanooga, Tennessee in the United States, and another in Hanover, Germany. The plants will contribute to an annual electric vehicle production capacity of 1.2 million vehicles. With three new plants opening in 2022 for Volkswagen, brand CEO Ralf Brandstätter said the clear cut strategy for growth relies on more facilities on a global scale.

“Rapid expansion of production capacities for our successful ID.4 model is a key component of our ACCELERATE strategy,” Brandstätter said. “It helps us accelerate the transformation to zero-carbon mobility and create further capacities to meet the high demand for electric vehicles. With our clear commitment to the site, we aim to show that cost-effectiveness and competitiveness are not only possible in the region, but that we can even enhance them lastingly.”

Lower Saxony is becoming a hotspot for Volkswagen’s EV production expansion. The company already employs 130,000 people in the area. The new Emden plant will build the ID.4, but next year the plant will build the AERO B, another all-electric vehicle from the German company. Additionally, production of the ID.Buzz will also commence in Hanover but will be joined from 2023 on by the ID.3 made in Wolfsburg.

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Volkswagen said six new production halls and five new conveyor bridges and logistics buildings have been created as a part of Emden’s transformation into an electric vehicle manufacturing plant. The automaker focused on successful training near production lines and in a virtual setting, which helped employees transition to the new products.

Volkswagen is converting another German plant for EV production

As far as the ID.4, it is now produced at Emden and Zwickau in Germany and Anting and Foshan in China, meaning four facilities have been given space for manufacturing the all-electric vehicle. The vehicle will also be built at the Chattanooga factory in the fall. The ID.4 has quickly become Volkswagen’s most successful EV with more than 30,000 units delivered in 2022’s first quarter. Half of all VW’s EV deliveries are an ID.4, as the automaker has delivered 163,000 units of the vehicle since its launch early last year.

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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 Full Self-Driving likely to expand to yet another Asian country

“We are aiming for implementation in 2026. [We are] doing everything in our power [to achieve this],” Richi Hashimoto, president of Tesla’s Japanese subsidiary, said.

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Credit: Tesla Asia | X

Tesla Full Self-Driving is likely to expand to yet another Asian country, as one country seems primed for the suite to head to it for the first time.

The launch of Full Self-Driving in yet another country this year would be a major breakthrough for Tesla as it continues to expand the driver-assistance program across the world. Bureaucratic red tape has held up a lot of its efforts, but things are looking up in some regions.

Tesla is poised to transform Japan’s roads with Full Self-Driving (FSD) technology by 2026.

Richi Hashimoto, president of Tesla’s Japanese subsidiary, announced the ambitious timeline, building on successful employee test drives that began in 2025 and earned positive media reviews. Test drives, initially limited to the Model 3 since August 2025, expanded to the Model Y on March 5.

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Once regulators approve, Over-the-Air (OTA) software updates could activate FSD across roughly 40,000 Teslas already on Japanese roads. Japan’s orderly traffic and strict safety culture make it an ideal testing ground for autonomous driving.

Hashimoto said:

“We are aiming for implementation in 2026. [We are] doing everything in our power [to achieve this].”

The push aligns with Hashimoto’s leadership, which has been credited for Tesla’s sales turnaround.

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In 2025, Tesla delivered a record 10,600 vehicles in Japan — a nearly 90% jump from the prior year and the first time exceeding 10,000 units annually.

The strategy shifted from online-only sales to adding 29 physical showrooms in high-traffic malls, plus staff training and attractive financing offers launched in January 2026. Tesla also plans to expand its Supercharger network to over 1,000 points by 2027, boosting accessibility.

This Japanese momentum reflects Tesla’s broader international expansion. In Europe, Giga Berlin produced more than 200,000 vehicles in 2025 despite a temporary halt, supplying over 30 markets with plans for sequential production growth in 2026 and battery cell manufacturing by 2027.

While regional EV sales faced headwinds, the factory remains a cornerstone for Model Y deliveries across the continent.

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In Asia, Giga Shanghai continues to be recognized as Tesla’s powerhouse. China, the company’s largest market, saw January 2026 deliveries from the plant rise 9 percent year-over-year to 69,129 units, with affordable new models expected later this year.

FSD advancements, already progressing in the U.S. and South Korea, are slated for Europe and further Asian rollout, complementing plans to expand Cybercab and Optimus to new markets as well.

With OTA-enabled autonomy on the horizon and retail strategies paying dividends, Tesla is strengthening its footprint from Tokyo showrooms to Berlin assembly lines and Shanghai exports. As Hashimoto continues to push Tesla forward in Japan, the company’s global vision for sustainable, self-driving mobility gains traction across Europe and Asia.

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Tesla ships out update that brings massive change to two big features

“This change only updates the name of certain features and text in your vehicle,” the company wrote in Release Notes for the update, “and does not change the way your features behave.”

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Credit: Tesla

Tesla has shipped out an update for its vehicles that was caused specifically by a California lawsuit that threatened the company’s ability to sell cars because of how it named its driver assistance suite.

Tesla shipped out Software Update 2026.2.9 starting last week; we received it already, and it only brings a few minor changes, mostly related to how things are referenced.

“This change only updates the name of certain features and text in your vehicle,” the company wrote in Release Notes for the update, “and does not change the way your features behave.”

The following changes came to Tesla vehicles in the update:

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  • Navigate on Autopilot has now been renamed to Navigate on Autosteer
  • FSD Computer has been renamed to AI Computer

Tesla faced a 30-day sales suspension in California after the state’s Department of Motor Vehicles stated the company had to come into compliance regarding the marketing of its automated driving features.

The agency confirmed on February 18 that it had taken a “corrective action” to resolve the issue. That corrective action was renaming certain parts of its ADAS.

Tesla discontinued its standalone Autopilot offering in January and ramped up the marketing of Full Self-Driving Supervised. Tesla had said on X that the issue with naming “was a ‘consumer protection’ order about the use of the term ‘Autopilot’ in a case where not one single customer came forward to say there’s a problem.”

It is now compliant with the wishes of the California DMV, and we’re all dealing with it now.

This was the first primary dispute over the terminology of Full Self-Driving, but it has undergone some scrutiny at the federal level, as some government officials have claimed the suite has “deceptive” names. Previous Transportation Secretary Pete Buttigieg was one of those federal-level employees who had an issue with the names “Autopilot” and “Full Self-Driving.”

Tesla sued the California DMV over the ruling last week.

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Tesla workers push back against Giga Berlin unionization

“IG Metall did not succeed in Giga Berlin‘s works council election earlier today. The union share was reduced from nearly 40% in 2024 to 31% in 2026! This is a clear message by the Giga Berlin team towards an independent co-determination! The list called Giga United, led by the current chairwoman, Michaela Schmitz, received the most votes with more than 40%! Good news for Giga Berlin!”

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Tesla workers pushed back against unionization efforts at Gigafactory Berlin, and over the past few years, there has been a dramatic decrease in interest to unionize at the German plant.

Gigafactory Berlin Plant Manager André Thierig announced on Wednesday that IG Metall, the European union group, saw its share reduce from 40 to 31 percent in 2026 as employees eligible to vote on the issue. Instead, the Giga Berlin team, known as Giga United, received the most votes with more than 40 percent.

Thierig gave specific details in a post on X:

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“IG Metall did not succeed in Giga Berlin‘s works council election earlier today. The union share was reduced from nearly 40% in 2024 to 31% in 2026! This is a clear message by the Giga Berlin team towards an independent co-determination! The list called Giga United, led by the current chairwoman, Michaela Schmitz, received the most votes with more than 40%! Good news for Giga Berlin!”

There were over 10,700 total employees who were eligible to vote, with 87 percent of them turning out to cast what they wanted. There were three key outcomes: Giga United, IG Metall, and other notable groups, with the most popular being the Polish Initiative.

The 37-seat council remains dominated by non-unionized representatives, preserving Giga Berlin as Germany’s only major auto plant without a collective bargaining agreement.

Thierig and Tesla framed the outcome as employee support for an “independent, flexible, and unbureaucratic” future, enabling acceleration on projects like potential expansions or new models. IG Metall expressed disappointment, accusing management of intimidation tactics and an “unfair” campaign.

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The first election of this nature happened back in 2022. In 2024, IG Metall emerged as the largest single faction with 39.4 percent, but non-union lists coalesced for a majority.

But this year was different. There was some extra tension at Giga Berlin this year, as just two weeks ago, an IG Metall rep was accused by Tesla of secretly recording a council meeting. The group countersued for defamation.

Tesla Giga Berlin plant manager faces defamation probe after IG Metall union complaint

This result from the 2026 vote reinforced Tesla’s model of direct employee-management alignment over traditional German union structures, amid ongoing debates about working conditions. IG Metall views it as a setback but continues advocacy. Tesla sees it as validation of its approach in a competitive EV market.

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This outcome may influence future labor dynamics at Giga Berlin, including any revival of expansion plans or product lines, which Musk has talked about recently.

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