Tesla, Shanghai sign agreement for new megafactory
The signing ceremony
Tesla is to build a new megafactory in Shanghai to produce Megapack, its super-sized commercial energy storage battery.
The initial plan is to produce up to 10,000 units of commercial energy storage batteries annually at the new Shanghai plant, with a storage capacity of nearly 40GWh, according to the automaker. The product will be sold globally.
The Tesla Megafactory Shanghai Project is scheduled to begin construction in the third quarter of 2023, and start production in the second quarter of 2024.
On Sunday, Wu Xiaohua, deputy director of the Lingang Special Area Administration, and Tao Lin, vice president of Tesla, signed the agreement for the new project in Shanghai. It marks another major collaboration between Tesla and China.
A major energy storage plant
Recently, Tesla unveiled the third part of its "Master Plan," which outlines its goal of transitioning to sustainable energy and achieving 100 percent sustainable energy by 2050. The new Tesla Megafactory Shanghai project is one of the crucial steps toward achieving this goal, it said.
This will be the company's second Megafactory of Megapack worldwide. Currently, the only operational Megafactory is situated in Lathrop, California, which is capable of manufacturing 10,000 Megapacks per year.
"Five years ago, Tesla's Shanghai Gigafactory project helped Shanghai become a new highland for the development of the new-energy vehicle industry," Shanghai Vice Secretary-General Zhuang Mudi said at the signing ceremony.
"And today, we are witnessing the signing of the Tesla Megafactory Shanghai project, which will undoubtedly become an important force in promoting the development of Shanghai's new-energy storage industry and green low-carbon transformation."
The Tesla Megapack battery is currently providing sustainable energy solutions for countries worldwide, including the United States, the United Kingdom and Australia.
It is rapidly becoming one of the most sought-after energy storage product globally, helping countries address their reliance on traditional fossil fuels, the company said, believing that the future of renewable energy relies heavily on large-scale energy storage.
