Tesla’s Shanghai Gigafactory now reportedly has an annual production capacity of more than 750,000 units, making it the company’s largest facility, according to a second-quarter earnings report released on July 20.
The sprawling production site is the first wholly foreign-owned vehicle manufacturing project in China and Tesla’s first “Gigafactory” outside the US. In 2021, the annual delivery volume of the Shanghai Gigafactory reached 484,130 vehicles, up 235% year-on-year, accounting for 51.7% of Tesla’s global production capacity in 2021.
In addition, Tesla’s California factory has an annual production capacity of 650,000 vehicles, and its plants in Berlin, Germany, and Texas, US, have an annual production capacity of over 250,000 vehicles. According to data released by the China Passenger Car Association (CPCA), Tesla China delivered a total of 78,900 vehicles in June, a record high. In the first half of this year, Tesla China delivered 295,000 vehicles.
Tesla’s second-quarter revenue was $16.934 billion, a year-on-year increase of 42%, while its net profit was $2.259 billion, up 98% year-on-year. In terms of delivery volume, Tesla produced 258,580 vehicles and delivered 254,695 vehicles worldwide in the second quarter of 2022. The combined delivery volume of the Model S and Model X was 16,162 units, while the delivery volume of the Model 3 and Model Y was 238,533 units.
During a conference call following the financial report’s release, some investors asked about Tesla’s attitude towards competition in the Chinese market. Elon Musk said that he has great respect for Chinese electric vehicle manufacturers. “They are smart and work hard, and anyone who is not as competitive as them will not be successful.” However, Musk also pointed out, “The best Chinese electric vehicle manufacturer at present is actually Tesla China.”
In terms of batteries, Musk pointed out that Tesla has enough 2170 batteries to meet the production of all cars this year, while 4680 batteries will really play a role next year. Tesla’s Texas factory will start mass production of 4680 batteries at the end of the third quarter.