Featured image: Ben Margot
August was strong for Tesla in China. The popularity of the company's cars continues to grow along with the expansion of production facilities.
Sales of passenger cars in China increased by 8.8% y-o-y in August; wholesale sales of new-energy vehicles exceeded 100,000 units, up 43.7% on a yearly basis, showed data from the China Passenger Car Association.
In August, Giga Shanghai was able to produce 12,714 Model 3, according to EVProbe. During the same period, the company was able to sell 11,811 units, according to the CPCA.
In the last month of Q2, Tesla was able to make a breakthrough and deliver almost 15,000 Model 3. Therefore, it is possible that the numbers for September will also be impressive.
Tesla is well aware that China is an extremely important market for its global outlook, and sales of its electric vehicles there have a huge impact on overall performance. Therefore, in the future, the company intends to double the production of cars at Giga Shanghai. This increase in production capacity is possible due to the fact that Phase 2 is almost completed, and the production of Model Y is expected to soon begin.
"The annual output of its Shanghai plant in the first phase has reached 150,000 units. After the second phase opens, it is expected to double output to 300,000 units, which will further reduce costs and competitiveness in the Chinese market," Cui Dongshu Hall, secretary general of the China Passenger Car Association (CPCA), reports the Global Times.
China is the world's largest automotive market as well as the largest electric vehicle market, far ahead of the US and some European countries. And while local players are strong competitors, Tesla has a huge cult following in the country that has helped boost its sales figures.
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About the Author
Eva Fox joined Tesmanian in 2019 to cover breaking news as an automotive journalist. The main topics that she covers are clean energy and electric vehicles. As a journalist, Eva is specialized in Tesla and topics related to the work and development of the company.