Shanghai authorities stepped up to help Tesla reopen factory, letter shows

Shanghai authorities stepped up to help Tesla reopen factory, letter shows


A truck leaves the Tesla Shanghai Gigafactory on April 25, 2021 in Shanghai, China.

Visual China Group | Getty Images

Shanghai authorities helped Tesla transport more than 6,000 workers and carry out necessary disinfection work to reopen its factory last month amid the city’s lockdown, according to a letter that Tesla sent to local officials and seen by Reuters.

The letter, dated May 1 and addressed to local authorities in Shanghai’s Lingang Special Area, outlined the lengths to which the city went to help Tesla, indicating the U.S. automaker’s importance to Shanghai as the city tries to restart business while curbing the spread of Covid-19.

Tesla reopened its factory in Shanghai on April 19 after a 22-day stoppage, with state media widely covering the event.

In its letter, Tesla thanked Lingang officials for their support, and described how a company run by the Lingang Group had arranged buses to transport 6,000 workers of Tesla and its suppliers to the factory, and carried out disinfection work needed for the company to enter “closed loop” production.

“They fought for three consecutive days, working round the clock and non-stop to guarantee our company’s workers could return to the factory,” Tesla said in the letter.

The letter also outlined how Tesla planned to further expand its plant in Shanghai, confirming a Reuters report in February.

The company will build a new plant on nearby land in the same area, which is poised to add an annual capacity of 450,000 cars, including Model 3s and Model Ys, becoming “the world’s largest vehicle export hub,” the letter said.

The Shanghai plant delivered 484,100 vehicles throughout 2021, Tesla has said previously.

Tesla and the Shanghai government did not immediately respond to requests for comment.

Numerous factories were shut after Shanghai went into lockdown from March to combat the spread of Covid. While some have started reopening, getting workers back has proven difficult as some restrictions remain for others.

The 22-day shutdown of Tesla’s Shanghai factory was its longest since it began production in late 2019, and caused an output loss of more than 50,000 vehicles, according to calculations based on Tesla’s output plans seen by Reuters.

Tesla makes its Model 3 and Model Y vehicles in Shanghai, serving the Chinese market and acting as an export hub to Germany and Japan.

The strong show of support from Shanghai also comes after Tesla had a difficult period with authorities last year, when it came under scrutiny over data security and product quality issues.



Source

Social media users report Netflix outage during ‘Stranger Things’ premiere
Technology

Social media users report Netflix outage during ‘Stranger Things’ premiere

A Netflix logo is on display at the Lucca Comics & Games 2025 event, one of Europe’s largest pop culture conventions, as stars and creators of “Stranger Things” series launch Season 5, in Lucca, Italy, October 31, 2025. Claudia Greco | Reuters Users on social media posted that they were experiencing issues with Netflix’s service […]

Read More
CNBC Daily Open: An early Thanksgiving celebration in U.S. markets
Technology

CNBC Daily Open: An early Thanksgiving celebration in U.S. markets

Traders work on the floor at the New York Stock Exchange (NYSE) in New York City, U.S., Nov. 26, 2025. Brendan McDermid | Reuters Thanksgiving in the U.S. takes place on Thursday stateside, but the feasting might have begun a day early for investors. The S&P 500, Dow Jones Industrial Average and Nasdaq Composite all […]

Read More
Apple and Broadcom shares keep hitting records. Why each have more room to run
Technology

Apple and Broadcom shares keep hitting records. Why each have more room to run

Shares of Apple and Broadcom on Wednesday both traded above their record-high closes. New research shows investors exactly why there should be more upside ahead for the two Club holdings. No. 1 smartphone: Apple stock rose Wednesday after Counterpoint Research said the company was on track to dethrone Samsung as the world’s top smartphone maker […]

Read More