Tesla rings in 2020 with a global manufacturing presence

Although many who follow the growth of electric cars eagerly await the release of Tesla’s fourth-quarter and annual delivery numbers for 2019, the Tesla of 2020 and beyond is a truly global manufacturer. 

Tesla confirmed that it delivered its first 15 Chinese-made Tesla Model 3 sedans Monday—to Tesla employees. Tesla also told Reuters that the Model 3 will start shipping out to customers on a larger scale on Tuesday, January 7. 

The Shanghai factory, termed Gigafactory 3, has a targeted production of 250,000 vehicles annually—with eventual plans to ramp up to 500,000—and Tesla has already reached a rate of 1,000 vehicles per week. 

Giga 3 is one of the first auto assembly plants in China to be owned (and operated) by an automaker based in another country. All other plants in China to date affiliated with foreign automakers have involved joint ventures with local automakers. 

Tesla starts delivery of Chinese-made Model 3 sedans on December 30, 2019

Tesla starts delivery of Chinese-made Model 3 sedans on December 30, 2019

Tesla plans in the near future to produce batteries as well as vehicles at the Shanghai plant, and it’s confirmed that the plant will build both Model 3 and Model Y. 

Europe is part of the manufacturing plan, too—likely in early 2021. In November, Tesla CEO Elon Musk announced that Tesla had chosen Berlin, Germany as the location for its next facility, termed Gigafactory 4. That plant will build batteries, powertrains, and vehicles, starting with the Model Y—and, probably the Model 3. 

Just as the China factory will help stabilize business during a potential trade war with China, the European factory will help Tesla in tariff and trade negotiations with the European Union, at a time when there’s pressure to keep engineering and manufacturing resources in Germany. 

While the Cybertruck takes form for production and new Roadster and Semi near their final form—with the ramp-up of the Model Y was well—it’s going to be a busy year for the company, globally. 

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