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Reading: Tesla China will increase Giga Shanghai production in response to increasing demand
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EV-a2z > News > Tesla China will increase Giga Shanghai production in response to increasing demand
News

Tesla China will increase Giga Shanghai production in response to increasing demand

EV-a2zs
Last updated: 2023/02/07 at 1:44 PM
EV-a2zs Published February 2, 2023 3 Min Read
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Powering Progress: The Gigafactory, heartbeat of the electric vehicle revolution
Powering Progress: The Gigafactory, heartbeat of the electric vehicle revolution
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For the next two months, Tesla China will unleash the might of Gigafactory Shanghai’s most efficient and largest vehicle production plant by volume. 

Contents
Tesla China to produce 20,000 vehicles per weekTo increase global output by 1.8 million vehicles in 2023

According to reports, Giga Shanghai plans to increase weekly output to nearly 20,000 vehicles in February and March, allowing Tesla China to meet the rising car demand.

The production of Gigafactory Shanghai was reduced in December, partly due to maintenance efforts that reduced vehicle production at the end of the month. 

Wow 👀 I see 14 Ships with Tesla coming from China, 1 going from EU to Taipei with Berlin Model Y, and 2 ships from the US coming to China and EU with Model S and X .

Tesla has 17 Ships in the waters right now, ready to kickstarting Q1 2023 😉📈https://t.co/9P0bWeB5J6 pic.twitter.com/MgmdxUfxam

— BestInTESLA (@TeslaBest) January 30, 2023

The facility’s output was also reduced in January due to the Lunar New Year celebrations in China, which lasted until the end of the month.

Tesla China to produce 20,000 vehicles per week

According to Reuters, Tesla China plans to produce nearly 20,000 vehicles per week at its Shanghai factory over the next two months, citing a planning memo highlighting vehicle production goals for the facility and a source reportedly familiar with the situation. 

This should return the facility to its September output level of 82,088 Model 3 sedans and Model Y crossovers.

According to data from China Merchants Bank International, Tesla China saw a 36% increase in average daily sales in the first 29 days of January compared to the previous year’s period. 

This efficiently surpassed major rival BYD, which had previously reached Tesla China’s volumes.

▪️Leaked Tesla China production plans reveal that Tesla's price reductions [to 2021 levels] unlocked the next rung of the demand ladder: demand is off the charts, despite recession fears.
▪️Tesla now plans to run the Shanghai factory at its maximum capacity of ~1.05m cars/year: pic.twitter.com/P9BYHrqYyo

— Tesla Facts (@truth_tesla) February 1, 2023

As of this writing, Tesla China has yet to respond. Teslarati has requested a response from Tesla China and will update this article if and when we receive one.

To increase global output by 1.8 million vehicles in 2023

Tesla Gigafactory Shanghai is the company’s primary vehicle exporter, manufacturing Model 3 sedans and Model Y crossovers for domestic and international markets. 

The facility will play an essential role in the company’s operations this year, mainly as it aims to increase its global output to 1.8 million vehicles by 2023.

A look inside @Tesla’s Gigafactory 3 in Shanghai, designed to produce 500,000 Model 3s per year, is a glimpse into the power of automation and innovation across all industries. pic.twitter.com/eOmPlUPntz

— Vala Afshar (@ValaAfshar) January 24, 2023

During the Q4 and FY 2022 earnings call, CEO Elon Musk stated that Tesla’s 1.8-million target is conservative, as shipments this year could exceed 2 million cars.

Our internal production potential is actually closer to 2 million vehicles, but we were saying 1.8 million because, I don’t know, there just always seems to be some freaking force thing that happens somewhere on earth. If it’s a smooth year, actually, without some big supply chain interruption or massive problem, we actually have the potential to do 2 million cars this year

Elon Musk, CEO of Tesla stated on their target production

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TAGGED: China, Electric Vehicle, Elon Musk, EV, Gigafactory, Tesla, Tesla Model 3, Tesla Model Y
EV-a2zs February 7, 2023 February 7, 2023
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