Tesla Giga Berlin will be switching to a two-shift system in August. According to RBB, Tesla’s Berlin Gigafactory has employed at least 5,000 people in Grünheide. It plans to hire more people in August to occupy a second shift fully. Eventually, Tesla Giga Berlin will introduce a third shift and operate 24 hours day.
Tesla aims to reach an output of 3,000 units per week by October 2022. Tesla SVP of Powertrain and Energy Engineering Drew Baglin shared at the last earnings call that Tesla’s target is to hit 5,000 vehicles per week at Giga Berlin by the end of the year. Tesla believes it can still achieve 50%+ growth by the end of the year.
“And finally, despite losing more builds in Q3 than expected, we’re still pushing to reach 50% growth this year. This target has become more difficult, but it remains possible with strong execution,” stated Tesla’s Chief Financial Officer Zachary Kirkhorn at the Q2 2022 earnings call.
The Tesla CFO also mentioned inefficiencies in both Austin and Berlin that would continue to weigh down the company’s margins for the balance of this year. However, Kirkhorn predicts that the impact of those inefficiencies will decrease as Tesla ramps up production.
Tesla Q2 Factory Updates
In July, Giga Berlin and Giga Shanghai temporarily halted production to work on their respective assembly lines. In Germany, Tesla stopped production for two weeks to readjust some of the casting machines producing rear underbody parts. Tesla also installed other machinery during the short break to improve Giga Berlin’s production.
Meanwhile, Tesla upgraded its Model 3 and Model Y production lines in Giga Shanghai. The upgrades resulted in Tesla China delivering only 28,217 vehicles in July, down from a record 78,000 units in June. However, the upgraded Model Y and Model 3 assembly lines should increase Giga Shanghai’s output.
Giga Berlin already produces 1,000 vehicles per week, and Tesla’s new HQ in Austin seems close to reaching the same weekly output. Giga Shanghai finished upgrading its Model Y assembly in mid-July, and the Model 3 line’s upgrades are expected to be finished this week.
The Fremont Factory appears to be pushing its boundaries, too. A recent visit by a Canaccord analyst revealed that the Fremont Factory is still significantly contributing to Tesla’s production numbers. Thus far, it seems like Tesla is set for smooth sailing in Q3 2022—barring any unexpected challenges.