Design Engineering

Tesla to buy German-based Grohmann Engineering


Automation Automotive electric car tesla

The electric carmaker believes that this new acquisition will automate production to help meet an ambitious target.

PALO ALTO, Calif. — Tesla Motors says it has agreed to buy a German engineering company to help automate its electric car manufacturing.

Tesla Model 3 driverless vehicle

The company is buying Grohmann Engineering, which Tesla says is a leader in highly automated manufacturing methods.

“After increasing our output target to 500,000 cars per year by 2018, we began searching for the best engineering talent in automated manufacturing systems,” the company said on its website. “Today, we are excited to announce that Tesla has entered into an agreement to acquire Grohmann Engineering, a world-renowned engineering company in Prüm, Germany, which will become Tesla Grohmann Automation.”


Tesla expects to start building the $35,000 Model 3 electric car next year, and it wants to build 500,000 cars per year in two years. More than 300,000 people have put down deposits to reserve a Model 3.

Tesla expects to add more than 1,000 engineering and technician jobs in Germany over the next two years.

“We are excited to have the Grohmann team join us in our goal of becoming the best manufacturer in the world to help accelerate the world’s progress to a sustainable energy future,” the company adds.

The company says the acquisition should bring improvement in the speed and quality of production at its Fremont, California, factory. The deal is expected to close early next year.

The purchase price wasn’t disclosed.



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