Tesla’s Shanghai Gigafactory has gained approval from local authorities to resume production as early as today following a three-week stoppage, according to two sources cited by Reuters on Friday. The company and relevant departments in Shanghai have so far made no official comment on the news.
Tesla’s Shanghai production plant, located in the Pudong district east of the city’s Huangpu River, halted production on March 28 due to a severe uptick in local COVID-19 cases. According to individuals familiar with the matter, Tesla’s plan to resume production has received the go-ahead from local authorities. However, they also pointed out that such plans may still be subject to change, depending on how the pandemic situation develops in the city.
One of the sources said that the company had planned to start with one shift on Monday and would gradually ramp up operations. The latest stoppage, the longest since the facility commenced production in late 2019, is expected to result in an output loss of more than 50,000 vehicles, according to calculations based on internal plans seen by Reuters.
In addition, SAIC Motor, which is also located in Shanghai, revealed the latest progress of the company’s resumption of work and production yesterday. On Monday, SAIC’s vehicles, parts and logistics enterprises will start stress testing for resuming work and production. In the future, the company will formulate further dynamic plans for resuming work and production based on a comprehensive consideration of the pandemic situation and stress-testing results.
China’s northeastern city of Jilin has also been struck by the resurgent pandemic lately. The Changchun Municipal Government, which oversees the capital of Jilin Province, announced yesterday that all of the FAW Group’s five main engine plants in Changchun had resumed production, with a total of 7,438 people returning to work. Changchun is one of the main production bases for the firm, with car marque production bases including FAW-Audi, FAW-Volkswagen, Hongqi, Jiefang, and Bestune.