Tesla’s New Megafactory in Shanghai China Plans to Produce 10,000 Batteries Yearly

The American automaker announced that Tesla's next Megapack battery factory, shortly known as "Megafactory," is set to be built in Shanghai, China.

The giant automaker's chief executive officer (CEO), Elon Musk, confirmed the new Megapack facility in his recent Twitter post. The new facility in the Asian country seeks to build thousands of energy storage batteries yearly, which should kick off later this 2023.

Tesla's New Megafactory in Shanghai, China

According to a report by Axios, the giant electric vehicle (EV) firm of billionaire entrepreneur, Musk, plans to build its next "Megafactory" in China's financial hub, Shanghai, the biggest city in the Asian nation.

The Twitter account of the EV maker made the new facility official in its latest tweet. The post declared that the "next Megafactory will be in Shanghai." The announcement includes a photo of the "signing ceremony of the Tesla Megafactory Shanghai Project" between Tesla Shanghai Co. LTD. and Lin-Gang Special Area Administration.

The all-electric car maker says that the new facility in China is looking to "produce 10,000 Megapack" batteries per year once it begins its production. These Shanghai-produced units will not only be sold, but they will also be available in various parts of the world.

The Wall Street Journal highlights that the yearly production goal of the Megafactory in Shanghai is set to provide roughly 40 gigawatt hours of energy storage. The EV maker currently has a car plant in the Chinese region, the Gigafactory Shanghai. As such, the upcoming Megapack facility is essentially an expansion in the Asian country despite the tensions between China and the United States (US).

The current situation discourages some giant firms from making massive investments in the Chinese nation. Yet, Tesla continues with its expansion in the country.

Elon Musk Confirms New Megafactory in Shanghai

The big boss of Tesla, Musk, took to Twitter, the social network he recently took over, to announce what the new Megapack factory brings to the table, CNBC reports. In a recent tweet by the tech entrepreneur, he says that the upcoming Megafactory in Shanghai aims to "supplement output of Megapack factory in California."

The Tesla chief executive made this pronouncement while sharing the official announcement from the giant EV maker. As of writing, his tweet, posted on Easter Sunday, now has roughly over 13.5 million views, along with more than 40,000 likes.

Some Twitter users responded to his post, congratulating the billionaire on this new milestone. Others asked about the timeline of the new facility.

CNBC notes that a China-based state-owned publication, Xinhua, reports that the construction of the Megapack factory will kick off this year. It begins sometime in the third quarter of 2023. Meanwhile, the production of the batteries is expected to be up and running in 2024.

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