VW Plans 'Game-Changing' Electric Car To Topple Tesla

Volkswagen is planning to build a cutting-edge electric car plant close to its German headquarters at the same time as Tesla's "Gigafactory" near Berlin prepares to start production, Deutsche Presse-Agentur (dpa) reported.

Photo Insert: Volkswagen is preparing for an all-out war with Tesla.

To make room for a car that's been dubbed the "Tesla fighter," the German carmaker is limbering up to build a new state-of-the-art factory for its flagship Trinity electric car model, due to enter showrooms in 2026.

If the VW board gives the go-ahead in December, the new green-field facility will be built close to the company's main plant at Wolfsburg in Lower Saxony.

The move is a potential game-changer for Volkswagen at a time when Tesla's electric Model 3 has become the best-selling car in Europe. Tesla will start European production of the EV soon at Gruenheide near Berlin.

VW brand boss Ralf Brandstaetter said it would be easier to build a new factory rather than adapt existing production lines at Wolfsburg to make the Trinity. The cost of building the factory has not been given.

The company will continue to build the petrol-powered Golf and Tiguan models at Wolfsburg.

The announcement comes amid fears of heavy job losses at Wolfsburg as VW edges towards lean, electric car production. The works council at the plant claims VW chief Herbert Diess does not have a long-term strategy for the sprawling Wolfsburg facility, which is the largest single car-making plant in Europe and dominates the city.

Trinity will offer Level 2+ advanced driver assistance systems, and VW said this is likely to be upgraded to Level 4. This would allow fully autonomous driving on certain roads by 2030. The SSP platform which underpins the Trinity will be used by VW subsidiaries like Seat and Skoda and could be used to make up to 40 million new cars.

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