Earlier this year, Elon Musk announced Tesla would produce up to 500,000 vehicles till 2018. This decision was deemed ‘unrealistic’ by auto analysts and experts. However, let’s not forget Tesla never fails to deliver its promise and we think that it may achieve its target of 500,000 vehicle production after the recent announcement of buying the German firm, Grohmann Engineering.
Grohmann Engineering is a production services company. Both companies will work together toward achieving the Tesla’s goal of increasing the production of its cars. The German company will also help Telsa in developing the automated manufacturing systems, which the automaker will use in its factories.
In the last four years, Tesla’s production rate at the Freemont, California facility has increased by 400 percent. Working alongside the German company, Tesla will surely be capable of increasing the production capacity even more. In addition, other facilities such as the Netherland plant will also benefit greatly with this acquisition.
Both firms will finalize the acquisition deal by early 2017. After the deal is signed, Grohmann Engineering will change its name to “Tesla Grohmann Automation”. The closing price of the deal wasn’t revealed to the public.