Tesla invests millions in expanding Chinese production

Tesla assembly factory

Tesla would like to invest about €139 million in its car factory in the Chinese metropolis of Shanghai. Parts of the so-called Giga Shanghai factory must therefore be expanded. Additional people will also be hired.

According to Chinese reports, the investment is intended, among other things, to expand the department where the body and sheet metal parts are produced. The capacity of the paint line, the assembly hall and the logistics center will also be expanded. The work should be completed in April 2022 and should start before the end of this year, Chinese sources reported on the night of Thursday to Friday.

The planned investment does not come as a very big surprise. In announcing its Q2 quarterly results in July, Tesla said it had designated the Shanghai plant as the main manufacturing center for exports. Previously, this was the branch in the American city of Fremont. Both the Model 3 and the Model Y are built in China, also for the Netherlands.

Meanwhile, the Tesla factory in the US state of Texas is almost ready. Based on documents submitted to the Texas Land Registry last week, Tesla is setting December 31 as the delivery date. The same documents show that an amount of converted €940 million is involved in the construction. Production of the Model Y will start in the course of 2022. In time, the Model 3, the Cybertruck and the Tesla electric truck should also roll off the production line.

Then there is the Tesla factory near Berlin. Although it seems that it is already ready for production there, that cannot start yet. Tesla is still waiting for the last green light from the local government. This has dealt with almost all objections submitted to the opening of the factory and cautiously expects that the first cars can be built before the turn of the year. Tesla will build the Model Y for the European market in Grünheide.

– Thanks for information from Autoweek.nl

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