they hope it will help them compete with haslett. reporter: -- with tesla.r: most batteries are still made in asia. they want to be the first german carmaker who mass-produce their own batteries. they are undergoing a major expansion. suddenly, batteries are all the rage in the industry. >> it is reached a point that even experts can barely imagine a few years ago. now we have the technical conditions to develop electric cars nearly equal in range to petrol driven cars which in many ways are even more fun to drive. reporter: german manufacturer's sudden interest in e-cars is driven in no small part to tesla. they have set the pace for the entire industry with their stylish sedans. tesalla is also producing its on batteries and infrastructure, leaving e competitn behind in a cloud ofust. but they aim to catch up fast. for years, german chancell angela merl has been calling for a major boost the number e-cars on the roads. the government set a target of one million by 2020. she says it is urgent. >> however, innovations have to have clear targets in mind. we c