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Tesla Giga Shanghai To Start Model Y Mass Production By Q1 2021 & Reach 4k/Week Model 3 Production By June, Says Global VP Grace Tao

by Ma. Claribelle Deveza May 18, 2020

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Featured Image Credit: @DKurac/Twitter

Tesla China's Vice President of Foreign Affairs forecasted that Gigafactory Shanghai could begin the mass production of the MIC Model Y by Q1 2021 in a recent interview with Xinhua News

Giga Shanghai started delivering the MIC Model 3 Long Range RWD last week after starting production only a few months ago. VP Grace Tao shared that Gigafactory Shanghai could reach its 4,000 a week production goal by the end of June. 

If the production of the MIC Model Y progresses at a similar pace or better, Tesla China could start deliveries before the end of Q1 2021 or at the beginning of Q2 2021. With Tesla China's projected start date in mind, MIC Model Y production could begin exactly one year after MIC Model 3 SR+ deliveries began. 

Tesmanian believes that initial MIC Model Y deliveries could start in late Q1 2020, similar to the MIC Model 3 SR+. Tesla China will most likely ramp MIC Model Y deliveries in Q2 2021. 

Giga Shanghai may already be familiar with Model Y parts as some of them were seen in the latest MIC Model 3 units from the factory. If this is the case, Tesla China may have an easy time transitioning between MIC Model 3 production to the Model Y assembly line, especially since the two vehicles already share 70%-75% of their parts.

Tesla China's Vice President of Foreign Affairs also shared that Giga Shanghai's Phase 2 construction was progressing smoothly during her interview. Model Y production will primarily take place in Phase 2.  

The structural frames of Phase 2A and 2B are complete. The structural frames of the third building seem to be nearing completion as well. Giga Shanghai has already started painting the frames and placing the roof on buildings 2A and 2B.

Giga Shanghai contributed to Tesla's profitability in Q1 2020 despite the pandemic hitting most automotive companies hard. It was also partially responsible for Tesla's impressive 25.5% gross margin in the first quarter.

Tesla China recovered quite quickly from the virus outbreak. Giga Shanghai resuming operations on February 10, a week and a few days after it closed to prevent the virus from spreading. Grace Tao said Tesla China and the Chinese government worked closely together to ensure Giga Shanghai could reopen with little to no risks towards its staff. 




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