Tesla to keep Giga Shanghai output below maximum capacity through the end of 2022: Report

giga shanghai
Credit: Tesla

Tesla recently completed a project at Giga Shanghai to increase the factory’s production capacity to above 1 million units per year. Despite the higher capacity, Tesla is reportedly going to cap Giga Shanghai’s output for the remainder of the year.

According to two sources familiar with the plans that spoke with Reuters, Giga Shanghai can produce 14,000 Model Ys and 8,000 Model 3s per week at maximum capacity.

However, Tesla plans to reduce that to 13,000 Model Ys and 7,500 Model 3s, for a total of 20,500 units per week until the end of 2022.

The sources did not know why Tesla is planning to run Giga Shanghai at 93% capacity, but one source did say it was lower than he was expecting.

Even with the factory running at about 93% capacity, Tesla has been able to shorten delivery wait times in China with the increased output to as little as one week for all variants.

Customers in other markets where Tesla China exports the vehicles to have also benefited, like in Australia, where they are also seeing shorter delivery timeframes.

Tesla was also able to set a new production record in August, rolling 70,928 new vehicles out of the factory last month. They also set a new export record and came within inches of setting a delivery record, recording 76,965 cars sold in August, of which 42,463 were exported.

September looks like it is going to be another strong month. According to preliminary figures Tesla sold 23,109 vehicles during the week of September 19 to 25.

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