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Electric vehicles: Tesla ships Shanghai-made Model Y overseas for first time, delivering more than 8,000 units to Europe

  • The American carmaker’s Gigafactory 3 shipped 8,210 Model Y sports-utility vehicles to Europe in July, the company said on Monday
  • Tesla launched the Model Y, its second production model, in China on January 1 this year, drawing massive orders from mainland Chinese drivers

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Tesla broke ground on its US$2 billion Shanghai factory in January 2019 and started assembling Model 3s there at the end of that year. Photo: Bloomberg
Tesla’s China operation has begun delivering the Model Y to Europe, the first time it has exported the electric sport-utility vehicle (SUV) made at its Shanghai plant to customers outside the country.
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The Gigafactory 3 in the Lingang free-trade zone shipped 8,210 Model Ys to Europe in July, the company said in a statement on Monday. Tesla recently said the plant has become its main vehicle export hub.

“It goes without saying that the Shanghai Gigafactory is playing a strategic role in Tesla’s global layout,” said Tesla in the statement.

The shipments confirm speculation earlier this year that the American electric car giant would tap the capacity of its Shanghai facility to meet demand for Model Ys in Europe before production begins at its plant in Berlin.

“Increasing exports from the Shanghai factory will eventually help Tesla expand its manufacturing capacity and fine-tune the supply chain here,” said Gao Shen, an independent analyst in Shanghai. “It remains to be seen whether [Tesla boss] Musk will strengthen R&D capabilities in the world’s largest EV market in the near future.”

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The global electric vehicle leader had initially hoped to get its Berlin factory up and running in July, but German regulations have caused a delay. Chief executive Elon Musk said recently he expected to obtain approval to start production in the German capital in October.
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