German industry is urging for enhanced safeguards for critical infrastructure following a suspected arson attack carried out by leftist activists on Tesla's gigafactory located outside Berlin. Production at the facility has been halted indefinitely as a result of the incident.

(Photo : (Photo by Patrick Pleul / POOL / AFP) (Photo by PATRICK PLEUL/POOL/AFP via Getty Images))
An electric vehicle of the model Y is pictured during the start of the production at Tesla's "Gigafactory" on March 22, 2022 in Gruenheide, southeast of Berlin. - US electric car pioneer Tesla received the go-ahead for its "gigafactory" in Germany on March 4, 2022, paving the way for production to begin shortly after an approval process dogged by delays and setbacks.

Security officials evacuated the Tesla site on Tuesday following a suspected arson attack nearby, which Tesla CEO Elon Musk characterized as "extremely dumb." However, the incident left the site without power.

To counter the recessionary challenges, the German government has been a strong advocate for substantial foreign investments as a strategy to stimulate growth in Europe's largest economy.

"Infrastructure is the lifeline of the German economy," said Martin Wansleben, managing director of the DIHK Chambers of Industry and Commerce.

"Unfortunately, the protection of this infrastructure urgently needs to be adapted to the changed security situation. It is essential that investors continue to see Germany as a safe country," he said, adding cybersecurity was also a concern.

The local DIHK branch close to the site emphasized the importance of prioritizing safety to attract global investors and highlighted that the recent attack was not solely targeted at Tesla.

"It is an attack on all companies that want to invest in Brandenburg and Germany," President of the East Brandenburg Chambers of Commerce Carsten Christ said. "I believe the state has an urgent duty to protect our economy from this."

The timeline for Tesla to resume production remains uncertain after the recent incident. The U.S. electric vehicle manufacturer estimates substantial losses in the high hundreds of millions of euros, with around 1,000 cars left unfinished on Tuesday alone.

Who Are The Alleged Suspects?

As reported by Reuters, the plant has been a focus for climate protesters who are opposed to an expansion of the site.

German police have expressed their belief in the authenticity of a letter seemingly from a far-left organization called the Volcano Group. The letter claims responsibility for starting a fire that caused a power outage around Tesla's factory.

In a 2019 report, Berlin authorities listed Vulkangruppen, or volcano groups, as left-wing extremist organizations that have targeted cable ducts on railway lines and in some cases, radio masts, data lines, or company vehicles.