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Tesla announces new investment in Gigafactory Shanghai on road to 1 million electric cars per year
Feb. 23rd 2022 5:23 am PTTesla announced a new investment to expand production at Gigafactory Shanghai on the road to achieving a production capacity of 1 million electric cars per year at the factory.
Last year, CEO Elon Musk disclosed that Gigafactory Shanghai has now surpassed Fremont Factory in production capacity, and Tesla has made the Chinese factory its new main export hub.
When Tesla first announced plans for Gigafactory Shanghai, the automaker made it clear that it doesn’t plan to export cars out of China, but the plan changed earlier this year after production ramped up.
Shanghai went from beginning construction in December 2018 to starting production in December 2019.
Within just two years of starting production, it is now the biggest/most productive electric vehicle factory in the world by a wide margin.
It finished 2021 with an annualized production rate of over 800,000 vehicles, and it appears to still be growing.
This week, Tesla filed with the local city government new documents for an expansion of its parts production that will involve growing its workforce and adding a shift on some equipment (via Reuters):
Tesla Inc plans to expand parts production at its Shanghai factory to meet growing demand for exports, according to a document it filed with the city government. The automaker will add production workshops, increase the number of workers and lengthen the time equipment is operational, the document.
The actual production numbers and number of new hires were redacted from the documents filed with the city this week.
This new investment in expanding production at the factory comes after another $200 million investment in November.
At the time, Tesla was talking about having 15,000 employees at Gigafactory Shanghai and planning to hire 4,000 more.
Musk has previously said that he sees a potential for the factory to produce over 1 million vehicles per year.
CATL, Tesla’s main battery cell supplier in China, is building a battery factory near Gigafactory Shanghai, which is expected to help accelerate production.
Tesla Expands Shanghai Gigafactory to Increase Export Capacity
February 23, 2022According to an environmental information disclosure platform for enterprises and institutions in Shanghai, Tesla published the environmental impact assessment (EIA) for the first phase of the Tesla Gigafactory Project on Tuesday. The firm pointed out in the report that the project is mainly geared at meeting export demand and to improve the production capacity of auto parts. It plans to increase capacity by adding production workshops, workers and production volume.
The report disclosed that the production process improvement project will add five major components, including the construction of a new power system workshop for assembly and production. It will adjust the motor workshop, add new lines, and improve the production capacity of permanent magnet motors and motor controllers. The battery maintenance part in the original workshop will be moved to the newly-built power system workshop and the annual maintenance volume will be increased. Meanwhile, the motor maintenance part will be moved to the original motor workshop, and the annual maintenance amount will remain unchanged.
In the report, Tesla has hidden the key information such as the total investment, area, construction period and capacity improvement scale of the project. In the conclusion, the company in charge of environmental impact assessment (EIA) thinks that the construction of the project is feasible from the perspective of environmental protection.
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