Industry

Tesla now aims to reopen Giga Shanghai on April 18 after a 3-week shutdown

Tesla is now aiming to reopen Gigafactory Shanghai on Monday, April 18 after roughly three weeks of being shut down and missing out on the production of over 40,000 electric vehicles.

Shanghai has seen a notable rise in COVID-19 infections over the last month, and in an attempt to curb the growth, the authorities implemented some drastic lockdown measures that have been in place for weeks now.

It led Tesla to have to shut down Gigafactory Shanghai on March 28.

Tesla was supposed to restart production the next weekend, but it couldn’t make it work as it wasn’t able to secure enough workers and suppliers.

The automaker was expected to once again attempt a restart of production during the week, but it couldn’t make it work again.

The second phase of the two-phase city lockdown was supposed to end on April 7, but the authorities have extended it indefinitely amid continued spread despite the measures in place.

It led to a lot of uncertainty about when Tesla would be able to reopen its critical factory.

Now Reuters reports that Tesla has received the go-ahead from authorities to reopen on Monday, April 18:

“Tesla is preparing to resume production at its Shanghai plant on Monday following a three-week stoppage, having received the go-ahead from local authorities, two people familiar with the matter said.”

If it finally happens, it would mean that Tesla Gigafactory Shanghai would have been shut down for three weeks. At a production capacity of around 2,000 vehicles per day, Tesla will have missed out on over 40,000 vehicles.

Furthermore, Tesla is expected to restart production with only one shift and gradually ramp up production. Therefore, the factory shutdown could be felt throughout the rest of the month at least.

As we previously reported, this is undoubtedly going to significantly impact Tesla’s performance in Q2 2022 and likely even break the company’s streak of record deliveries for seven consecutive quarters.


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