German Tesla factory halts production as attacks in Red Sea cause delays

The Red Sea is a vital shipping corridor for the electric vehicle manufacturer.

Tesla has temporarily halted most production at its German factory due to attacks in the Red Sea, which have disrupted global shipping.

Driving the news: The factory near Berlin, which manufactures Model Y vehicles and batteries, will pause production from Jan. 29 to Feb. 11.

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  • The conflicts in the Red Sea and the resulting shifts in transport routes between Europe and Asia have affected production in Grünheide, Germany, Tesla said. 
  • Shipping companies have been forced to reroute vessels around the southern tip of Africa, adding 10 or more days to the journey.
  • Tesla expects to resume normal operations on Feb. 12 at its Grünheide factory, which is its first in Europe and employs 11,000 workers.
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