August 15, 2022

Tesla planning to expand parts production in Giga Shanghai to meet export demand

Tesla planning to expand parts production in Giga Shanghai to meet export demand
Tesla planning to expand parts production in Giga Shanghai to meet export demandTesla planning to expand parts production in Giga Shanghai to meet export demand

An environmental assessment report posted on the Shanghai government’s website on Tuesday has revealed that Tesla is looking to expand its parts production capacity at Gigafactory Shanghai. This initiative, which should help the facility inch closer to achieving an annual output of about 1 million vehicles in the next few years, is also designed to help Giga Shanghai meet a growing need for exports. 

While the assessment report was heavily redacted, it does mention that Tesla is planning on adding workshops in its China-based electric vehicle factory. The document also mentioned that Tesla is aiming to increase the number of workers at the Giga Shanghai complex while improving the length of time that its equipment can be operational. 

Other projects referenced in the report include the construction of a new powertrain shop, some adjustments to Giga Shanghai’s electric motor facility, and new production lines. References to an increase in permanent magnet motor and motor controller capacity were also mentioned in the redacted document. 

Considering that the document is an environmental assessment report, the public would now be allowed to submit comments about Tesla’s plans until March 1, 2022. Tesla China, for its part, has not issued a comment about the topic as of writing. 

While Gigafactory Shanghai is already a well-optimized electric vehicle factory, it is not surprising to see the company looking to improve the facility even further. Last year, Giga Shanghai reportedly achieved a vehicle production capacity of 450,000 cars, comprised of both the Model 3 and the Model Y. This number is expected to be improved even further this year. And within the next few years, expectations are high that Giga Shanghai could produce about 1 million vehicles per year. 

Gigafactory Shanghai currently stands as Tesla’s primary vehicle export hub, with the facility producing Model 3 and Model Y for foreign territories such as Europe and Australia. In January alone, Tesla China sold a total of 59,845 vehicles. Among this number, 40,499 were exported to foreign territories. 

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Tesla planning to expand parts production in Giga Shanghai to meet export demand

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