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Tesla Giga Shanghai Achieves Annualized Production Rate Of Over 900,000 Vehicles In August

Tesla China has just posted its second-highest monthly delivery number in August, producing and selling 76,965 vehicles. And even more impressively, August's delivery numbers mark the second time Giga Shanghai was able to surpass an annualized production run rate of 900,000 vehicles.

Tesla has been growing vehicle production at an incredible pace. And even more impressively, the EV maker is achieving this growth while the entire automotive industry has been forced to cut production due to the worldwide supply disruption caused by the COVID-19 pandemic.

And the biggest growth center for the EV maker has been Giga Shanghai. Tesla’s China factory, within three years of the groundbreaking ceremony, has already surpassed an annual production run rate of over 900,000 vehicles.

This makes Giga Shanghai Tesla’s biggest production hub surpassing the decade-old Fremont California plant. For instance, this June, Tesla hit a new wholesale record out of Giga Shanghai producing 78,906 vehicles in a single month.

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June’s number was 139 percent growth year over year and 145 percent increase month over month.

However, following June’s record, July's delivery numbers fell sharply due to a scheduled shutdown of Tesla’s China plant. The plant was shut down for half of the month in order to make upgrades that will increase Giga Shanghai’s annual production capacity to over 750,000 vehicles.

According to the wholesale number released by China Passenger Car Association (CPCA), Tesla’s production in July was down to 32,968 vehicles.

However, August’s numbers showed a sharp revival with Tesla China producing and selling 76,965 vehicles in the last month. This is a 133% growth month over month. And of the total vehicles delivered 62,169 were Model Y crossovers and the remaining 14,976 were Model 3s.

Out of the total August sales, 34,502 vehicles were sold locally and the remaining 42,463 vehicles were exported out of the country. This shows incredible demand for Tesla vehicles both in China and all around the world.

Tesla China’s August performance is incredible. However, even more importantly the plant was able to keep up with June’s record production numbers.

This means Giga Shanghai has now produced over 75,000 vehicles in a single month in 2 separate instances and, if the plant can maintain this number for a year, that means Giga Shanghai has achieved an annualized production run rate of over 900,000 vehicles a year.

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Just for comparison, 900,000 is about the number of vehicles Tesla delivered in all of 2021 utilizing both Giga Shanghai and the company’s Fremont California plant. And August’s Giga Shanghai production numbers suggest Tesla’s China plant can now single-handedly produce as many vehicles as Tesla’s worldwide vehicle output in 2021.

This is incredible growth on Tesla’s part, however, Giga Shanghai’s 900,000 annualized vehicle production run rate is just the tip of the iceberg. Currently, Tesla is in the process of ramping vehicle production at two new factories on two continents.

The two new factories, Giga Berlin and Giga Texas, when fully ramped are expected to produce more than 1 million vehicles a year each.

Tesla is also increasing vehicle production by 50% at its Fremont California plant to 750,000 vehicles.

And when you add all this up together, it doesn’t seem like it will be too long before Tesla starts producing several million vehicles a year. As of now, given the unpredictable nature of production ramps, it’s not exactly clear what sorts of production numbers Tesla will hit at what time.

However, we will be sure to keep you posted as we learn more about Tesla’s growth plans. Until then, make sure to visit our site regularly for the latest updates.

So what do you think? Excited to learn that Tesla has been able to maintain an annualized production run rate of over 900,000 vehicles only from Giga Shanghai? Also, how many cars do you think Tesla will deliver in 2022? Let me know your thoughts in the comments below.

Image: Courtesy of Tesla

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Tinsae Aregay has been following Tesla and The evolution of the EV space on a daily basis for several years. He covers everything about Tesla from the cars to Elon Musk, the energy business, and autonomy. Follow Tinsae on Twitter at @TinsaeAregay for daily Tesla news.