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Tesla Said to Spend $188m to Expand Shanghai Plant

The filing showed that expansion will allow Tesla to add 4,000 staff, taking the number of people the plant can employ to 19,000


Tesla
A Tesla EV outside the group's factory in Fremont, California, in May 2020. Photo: Reuters

 

Tesla plans to invest up to 1.2 billion yuan ($188 million) to expand production capacity at its Shanghai factory that will allow it to employ 4,000 more people at the site, according to a Chinese report on Friday.

The Beijing Daily newspaper attributed the information to a Shanghai government platform for companies’ environmental information disclosures.

The investment amount was not included in the document Tesla published on November 23. Tesla did not respond to a Reuters request for comment.

The filing showed that expansion will allow Tesla to add 4,000 staff, taking the number of people the plant can employ to 19,000.

There will be no change to the models the factory currently produces, according to the filing, which also did not specify how much production capacity will be increased.

Tesla’s Shanghai factory was designed to make up to 500,000 cars a year, and currently has the capacity to produce Model 3 and Model Y vehicles at a rate of 450,000 total units a year.

The EV maker’s sales in China are surging even though regulatory pressure is mounting following consumer disputes over product safety and scrutiny over how the firm handles data.

Last month, Tesla said it had built a research centre and a separate data centre in Shanghai to store data locally.

 

  • Reuters with additional editing by George Russell

 

 

 

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George Russell

George Russell is a freelance writer and editor based in Hong Kong who has lived in Asia since 1996. His work has been published in the Financial Times, The Wall Street Journal, Bloomberg, New York Post, Variety, Forbes and the South China Morning Post.

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