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Tesla Shanghai gigafactory, courtesy of Tesla.


Shanghai Authorities Helping Tesla Reopen Giga Shanghai

Shanghai authorities are working closely with Tesla to help it reopen Giga Shanghai after it paused production for 22 days in the broader effort in the city to curb the spread of Covid-19. Reuters reported on the story and shared details about a letter from Tesla to Shanghai’s Lingang Special Area, which shared what the city would do to help Tesla.

The letter was a bit of a mix between a thank-you letter and details of Tesla’s expansion plans. Tesla thanked the officials for their support and the letter mentioned that a company run by the Lingang Group arranged buses to transport 6,000 Tesla employees and suppliers to work. The group also helped with the disinfection work that was needed for Tesla to enter its closed-loop production. In the letter, Tesla said,

“They fought for three consecutive days, working ’round the clock and non-stop to guarantee our company’s workers could return to the factory.”

It also laid out Tesla’s plans for further expanding Giga Shanghai. Tesla will build a new factory on nearby land which will add an annual capacity of 450,000 cars making it the largest vehicle export hub on the planet.

The article noted that the decision for Shanghai’s authorities to help Tesla complete a smooth reopening of Giga Shanghai was an indication that Tesla, an American company, is important to the city.

Earlier, I wrote an article based on a screenshot posted to Twitter sharing that Secretary-General Cui Dongshu of the National Passenger Car Market Information Association predicted that Tesla’s factory in China is expected to reach a 90,000 monthly production rate. You can read more about that here.

Tesla is playing an important role in China’s automotive market, and for Tesla to achieve its goals and mission, it’s important for Tesla to do well there. Recall that Tesla’s mission is to accelerate the transition to electric vehicles and sustainable energy.

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