Tesla Plans $26,000 EV Production at Berlin Factory Amidst Worker Unionization Efforts and Recent Wage Hikes

Tesla's move to build a more affordable electric vehicle follows a manufacturing breakthrough and competition from budget EV makers, amid global labor unrest, with the first-ever strike against the company in Sweden and unionisation efforts by United Auto Workers at American factories.

Tesla has announced plans to build a $26,000 electric vehicle at its factory outside Berlin, amidst global labor unrest and unionization efforts.
This affordable electric vehicle initiative by Tesla follows numerous wage hikes, including a recent 4% salary increase for all staff and an additional raise for production workers, which the company claimed are not connected to union activities.
The affordable EV, yet to be named, is seen as an attempt to compete with budget EV makers, both from Europe and China, and to combat the high prices of EVs which has been a barrier to widespread adoption.
Tesla is currently facing its first formal labor dispute, with Swedish mechanics represented by IF Metall having initiated a strike. Plus, unionization efforts are ongoing at Tesla's American factories with the involvement of the United Auto Workers.
In response to the global labor unrest and to increase the acceptance of EVs, Tesla's CEO, Elon Musk, disclosed this plan during a visit to Gigafactory Berlin-Brandenburg. However, the timeline for when the affordable EV's production will start has not been provided.