Tesla’s second assembly line near Shanghai Gigafactory to add 450,000 units of annual capacity

The new production line, which will come up near its existing plant, will produce Model 3 and Model Y cars

Tesla thanks local authorities for their aid in helping to restart production at the plant, where idling caused lost production of 50,000 units

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Tesla has picked a location for its new plant close to its existing Shanghai plant. Photo: Reuters

Published: 4:15pm, 4 May 2022Updated: 1:10pm, 31 May 2022

Tesla has picked a location to build its second production line in Shanghai near its existing Gigafactory 3, which would consolidate the production base’s role as its “largest export hub” globally, according to a letter the electric carmaker wrote to local authorities and seen by the Post.

The carmaker said the new assembly line will have an annual capacity of 450,000 units and will make Model 3 and Model Y vehicles when the first phase of construction is completed.

The assembly line will be a part of Gigafactory 3, also known as Giga Shanghai, which started producing Model 3s at the end of 2019, according to two sources with knowledge of the matter.

The letter confirmed a report by the Post on February 25 that Tesla was looking to build a second production line in Shanghai to more than double its capacity in China.

Employees work at the Tesla Gigafactory in Shanghai in November 2020. Photo: Xinhua

Tesla would not comment on the issue.

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