Tesla's stock experienced a decline following the suspension of operations at its Gigafactory in Berlin due to an alleged arson attack at a nearby electrical substation.
Production at the Berlin facility is expected to remain halted for several days, with no restart anticipated for the current week, according to Tesla's Berlin manufacturing chief.
The attack was claimed by the Volcano Group, a group of left-wing radicals, who criticized Tesla's environmental credentials in a letter published on an alternative news website. Authorities are investigating the incident.
Tuesday saw a decline in Tesla stock as a result of the automaker's Gigafactory in Berlin having to suspend operations due to an alleged arson assault at a nearby electrical substation.
(Photo : by SAUL LOEB/AFP via Getty Images)Tuesday saw a decline in Tesla stock as a result of the automaker's Gigafactory in Berlin having to suspend operations due to an alleged arson assault at a nearby electrical substation.
According to Reuters, Tesla's Berlin manufacturing chief stated that the facility is likely to remain without power for several days and that production is not expected to restart this week. T
In early afternoon New York trade, Tesla shares fell 4.5%, while the S&P 500 index decreased by 0.8%. It follows a 7.1% decline in the shares on Monday as investors evaluated the effects of price reductions and slower sales in China.
Tesla claimed that the corporation was the target of an arson assault on the public power infrastructure in a statement that was uploaded to the social media site X. It stated that there were no injuries and that "the factory will be restarted as soon as possible."
Authorities in Brandenburg said that they were looking into the identity of the person responsible for what seemed to be arson.
Volcano Group, a group of left-wing radicals, claimed responsibility for the attack in a letter published on the alternative news website Kontrapolis. According to a Google translation, it said, "We sabotaged Tesla today," before criticizing the electric car manufacturer's claimed environmental credentials.
Controversy Surrounds Tesla's Expansion Plans in Berlin
Berlin, the capital of Germany, lies southeast of the Gruenheide facility of Tesla. Plans for the plant's expansion have encountered strong criticism.
The American automaker wants to increase its production capacity to produce 100 gigawatt hours of batteries annually and 1 million automobiles. But this month, residents rejected plans to demolish surrounding trees to make room for the larger plant.
In opposition to the expansion plans, environmental activists started occupying a forest near the Gruenheide factory last week. Over the course of the late-night takeover on Wednesday, protestors constructed twelve treehouses around the forested region.
Although a spokeswoman for the "Stop Tesla" campaign organization told DW on Sunday that "the longer the occupation lasts the better," the campout is only intended to last one week.
Far-left activists were held accountable in 2021 for a fire that started at Tesla's Gruenheide facility, which was still under construction. That incident was likewise attributed to the Volcano Group.
