Tesla To Produce 3,000 EVs Per Day In China After Factory Upgrades

Tesla's Giga Shanghai is its main export hub, so production capacity increases are critical.

Tesla Giga Shanghai: General Assembly (Tesla Q4 2021 report)

Steven Loveday

By: Steven Loveday

Jul 27, 2022 at 9:48am ET

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Tesla is currently working on upgrades at its automotive factory in China, coined Giga Shanghai. When the work is all completed and the factory is running at speed, the upgrades will afford it the capacity to produce about 3,000 EVs per day.

While Tesla is upgrading Giga Shanghai and considering more upgrades and expansion at its original plant in Fremont, California, it's also ramping up a new factory in Austin, Texas, as well as another near Berlin, Germany. The company's Q2 2022 report made it clear that production capacity is increasing significantly.

Tesla says its Giga Shanghai is now the most productive EV factory in the world. It saw a projected annual capacity increase from just 450,000 vehicles to a whopping 750,000 vehicles from Q1 to Q2 2022. Tesla shared:

"While the Shanghai factory was shut down fully and then partially for the majority of Q2, we ended the quarter with a record monthly production level. Recent equipment upgrades will enable us to continue to increase our production rate further."

Tesla began the production line upgrades earlier in July 2022, and had to stop production briefly. The Model Y assembly line has already been updated at Giga Shanghai. In fact, Tesla was done with the work back on July 16. Work on the factory's Model 3 assembly line is expected to be complete by August 7, 2022, with production resuming on August 8.

Following a lengthy COVID-19-related shutdown earlier this year, Tesla's China factory has been ramping up and stockpiling vehicles for export. Now, according to Teslarati, Tesla is planning to add a third shift at the plant, which will automatically increase production.

The automaker is expected to produce some 1,000 to 2,000 Model 3 sedans per day at the factory, and the Model Y assembly line should have the capacity to build about 2,200 crossovers per day.

As you may have heard, Tesla had its most successful month to date at Giga Shanghai in June 2022. CEO Elon Musk made reference to the milestone during the company's recent Q2 2022 earnings conference call. He shared via Teslarati:

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“So just as a Q2 recap, Q2 was a unique quarter for Tesla due to a prolonged shutdown of our Shanghai factory. But in spite of all these challenges, it was one of the strongest quarters in our history. Most importantly, in June, we achieved production records in both Fremont and Shanghai."

See These Related Tesla China Articles:

Tesla Made Up Almost Half Of China's NEV Exports In H1 2022

Report: Tesla Accelerated Production And Sales In China To New Record

As Tesla continues to expand quickly, will there come a point when it simply doesn't have enough materials, supplies, or even employees to take its factories to their maximum production capacity? Head to our comment section and let us know what you think the future holds for Tesla.

Source: Teslarati

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