Tesla suspends production at Shanghai plant due to supply chain issues

Asian Tech Press (May 10) -- Tesla Inc. halted production at its Shanghai plant on Monday due to supply chain issues, two people familiar with the matter said.

Before that, the factory had been shut down for 22 days because of the local epidemic, and then partially resumed operations on April 19. But just a few weeks later, the U.S. electric vehicle maker suspended production at its Shanghai plant again.

The sources said it is unclear when Tesla's supply chain issues will be resolved and it is impossible to tell when production will resume.

Tesla suppliers facing problems include wire harness maker Aptiv PLC, whose Shanghai plant delivering to Tesla and General Motors was forced to stop shipments after COVID-19 infections were found among its workers, people familiar with the matter said.

Tesla China responded that it has not received any notice about the shutdown of the Shanghai factory.

Tesla had planned to increase production at its Shanghai plant to 2,600 units starting May 16, thus bringing the output at the plant back to pre-epidemic levels.

The China Association of Automobile Manufacturers (CAAM) estimated last week that China's auto sales fell 48% in April due to multiple factors.

You must be login to post a comment.