In August, Tesla sold 76,965 cars built in China, which is roughly treble the number of sales it had in the previous month. This was possible because Tesla sped up its deliveries after increasing production at its Shanghai facility.
According to the China Passenger Car Association (CPCA), the American automaker sent out 42,463 Model 3s and Model Ys from China during the month of December. In the month of July, they were able to sell 28,217 automobiles and export 19,756.
Despite the heatwaves the COVID limits that impacted its suppliers in the southwest area, Tesla was able to ramp up production at the Shanghai facility in August, despite the fact that most production had been halted in July due to a planned upgrade.
Midway through the month of August, the Yibin facility of battery manufacturer CATL (300750.SZ), which primarily provides battery cells to Tesla Shanghai, was forced to shut down a portion of its operations owing to the local power limitation rules.
Because of the increase in production, Tesla was able to speed up the delivery of its Model 3 and Model Y electric vehicles to consumers, particularly in China, where the company is fighting against increased rivalry from domestic competitors.
According to Tesla’s Chinese website, the company has reduced the delivery waiting time for its two best-selling models to a maximum of 14 weeks in China. At the same time, buyers of the rear-wheel drive Model Y can pick up the SUV in as little as one month after placing the order.
The total number of passenger cars sold in China for the month of August increased by 28.4% year-over-year to 1.9 million, according to the CPCA.
Auto sales in China have bounced back thanks to government incentives and tax exemptions, after a challenging beginning to the year that was marked by a slowdown in the country’s economy due to COVID lockdowns.
According to the CPCA, exports of passenger cars increased by 77.5% in December, despite a general slowing in the growth of exports.
According to the report, the number of sales of electric automobiles accounted for 28.0% of the total in August and increased by 111.2%.