Tesla acquires Shanghai land for megapack battery plant


A Tesla logo is seen outside a showroom of the carmaker in Beijing, China May 31, 2023. REUTERS/Thomas Peter/File Photo

BEIJING/SHANGHAI (Reuters) -Tesla has acquired land in Shanghai for a megapack battery manufacturing plant with production expected to start in the fourth quarter of 2024, Chinese state media reported on Friday.

Tesla paid 222.42 million yuan ($31.13 million) for use rights to a 19.7-hectare (48.7 acres) plot, a separate government statement said on Thursday. The site is near an existing Tesla plant producing Model 3 and Model Y cars.

Tesla did not immediately respond to a request for comment.

Construction of the project, which will be capable of producing 10,000 megapacks per year, is scheduled to begin in the first quarter of 2024 with production starting in the fourth quarter, the official Xinhua News Agency reported.

Tesla said in April that it would start construction in the third quarter of this year with production expected to begin in the second quarter of next year.

The U.S. electric vehicle manufacturer's gigafactory in Shanghai is producing with annual capacity of 1.1 million units. Tesla has indicated it wants to expand its EV capacity in Shanghai, which would require regulatory approval.

($1 = 7.1460 Chinese yuan renminbi)

(Reporting by Qiaoyi Li, Zhang Yan and Kim Miyoung; Editing by Sonali Paul, Miral Fahmy and Edmund Klamann)

Follow us on our official WhatsApp channel for breaking news alerts and key updates!

   

Next In Tech News

ByteDance seeks US$1.1mil damages from intern in AI breach case, report says
Cellphone outage in Denmark causes widespread disruption and hits emergency services
Regulating social media for minors: no simple fix
Japan's MUFG to spend over $660 million to buy robo-adviser WealthNavi
Canada files anti-competitive lawsuit against Google over ad tools
Global earth observation market to cross $8 billion by 2033, says Novaspace
Father of PlayStation says ‘everyone told us we would fail’
Big tech says Australia "rushed" social media ban for youths under 16
TikTok, Meta brace for Australian social media ban fallout
PlayStation: Fun facts to know as Sony’s console turns 30

Others Also Read