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Tesla Invests $ 188 Million to Expand Factory Capacity in Shanghai-Beijing Daily

File Photo: On January 7, 2019, you can see the Tesla logo at the Tesla Shanghai Gigafactory in Shanghai, China. REUTERS / Aly Song // File Photo

November 26, 2021

Shanghai (Reuters)-Tesla plans to invest up to 1.2 billion yuan ($ 187.91 million) to expand the production capacity of its Shanghai plant, which will be state-owned when the site will be able to employ more than 4,000 employees. The Beijing Daily reported on Friday.

The newspaper has attributed this information to the Shanghai government’s platform for corporate environmental disclosure.

The investment amount was edited in the document Tesla published on November 23 on the platform when Reuters accessed the document on Friday.

Tesla did not respond to Reuters’ request for comment.

Filing showed that the expansion would add Tesla to 4,000 staff and increase the factory’s ability to hire 19,000. According to the filing, the model the factory is currently producing has not changed and it is not specified how much capacity will be increased.

Tesla’s Shanghai plant is designed to produce up to 500,000 vehicles annually and currently has a total annual production capacity of 450,000 Model 3 and Model Y vehicles.

Automakers’ sales in China are skyrocketing despite increasing regulatory pressures following consumer controversies over product safety and scrutiny of how companies process data. Tesla said last month that it had built a research center and another data center in Shanghai to store the data locally.

We are currently shipping the Model 3 made in China to Europe and are constructing a factory in Germany. According to data from the China Passenger Car Association, 54,391 Chinese-made cars were sold in October, including 40,666 for export.

The Shanghai plant is completely owned by Tesla and is the first and only foreign passenger car plant in China that is exempt from joint venture operations.

($ 1 = 6.3860 RMB)

(Report by Brenda Goh; edited by Himani Sarkar and Christopher Cushing)



Tesla Invests $ 188 Million to Expand Factory Capacity in Shanghai-Beijing Daily

Source link Tesla Invests $ 188 Million to Expand Factory Capacity in Shanghai-Beijing Daily

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