Summary
- Tesla in China now has over 400 Tier-1 suppliers, with over 60 in its supply chain
- Tesla aims to work with suppliers to create safer, more efficient products and bring local suppliers to the international stage
- Over 95% of Giga Shanghai’s factory components are provided by domestic suppliers
- Giga Shanghai has delivered 676,000 vehicles in the first three quarters of 2024, accounting for over half of Tesla’s global deliveries
- Giga Shanghai is the most productive Tesla factory with an estimated annual output of over 950,000 vehicles
Article
Tesla China has reportedly over 400 Tier-1 suppliers, with over 60 of them entering the global supply chain. The company plans to work closely with suppliers to create safer and more efficient products while also aiming to bring more local suppliers to the international stage. This suggests that Tesla will not only be building the Model Y, Model 3, and Megapack in China in the future.
As of August 2022, over 95% of Giga Shanghai’s factory components are being provided by domestic suppliers, helping Tesla optimize its operations in China. Giga Shanghai has become the company’s primary vehicle export hub as a result. The facility, the electric vehicle maker’s largest factory by volume, has delivered 676,000 vehicles in the first three quarters of 2024, accounting for over half of the company’s global deliveries during that period.
The report also mentions that a vehicle rolls off Giga Shanghai’s assembly line every 40 seconds on average, making it the most productive Tesla factory globally with an estimated annual output of over 950,000 vehicles. Tesla has a strong presence in China, with vehicles like the Model Y performing well in its class in the domestic auto market. The company recently brought its humanoid robot, Optimus, the Model Y, Model 3, and various domestically produced components to the second China International Supply Chain Expo.
Tesla’s Vice President of External Affairs, Grace Tao, previously highlighted the company’s partnership with domestic suppliers in China. The collaboration has helped Tesla optimize its operations in the region and establish Giga Shanghai as a key export hub. The company’s commitment to working with local suppliers reflects its focus on efficiency and safety while expanding its international supply chain. This approach aligns with Tesla’s goal of streamlining its production processes and increasing its global market presence.
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