Tesla’s Giga Shanghai had another strong performance in August 2024, achieving a significant milestone with the sale of 86,697 vehicles, according to the latest data from the China Passenger Car Association (CPCA).
This figure, which includes vehicles sold both domestically and those exported to other markets, represents a 17% increase from July and a 3% year-over-year (YoY) growth. The CPCA should release the breakdown between domestic sales and exports later this week.
The Shanghai factory’s output in August was the highest since March 2024, signaling a recovery from the production slowdowns experienced earlier in the year. This strong performance can be linked to Tesla’s recent promotional strategies, including 0% interest loan offers on the Model 3 and Model Y, which have been extended through the end of the third quarter.
The August sales surge can be attributed to another factor, government incentives. The Chinese government doubled the subsidy for trading in older cars for new EVs at the end of July. This move provided a substantial boost to Tesla’s sales, particularly for its entry-level Model 3 and Model Y , which continue to be the flagship products of Giga Shanghai.
China’s NEV (New Energy Vehicle) market saw overall growth, with a 32% increase in wholesale sales YoY, reaching 1.05 million units in August.
Tesla’s contribution of 86,697 vehicles means it accounted for about 8.3% of this total, highlighting the company’s significant role in the Chinese EV market. (via CNEvPost)
Tesla’s Gigafactory in Shanghai has developed a production strategy that prioritizes exports in the first half of each quarter, and switches to focus on the domestic market in the second half. This strategy has allowed Tesla to meet both local demand and maintain a strong presence in overseas markets, particularly in Europe and more recently, Canada.
