Tesla has reportedly started calling back its workers in Gigafactory Shanghai, as the electric vehicle maker looks to return to vehicle production on Tuesday. Previous reports have initially estimated that Giga Shanghai would be returning to operations on Monday local time.
China’s recent Covid shutdowns have taken a toll on both its economy and its residents. With China being a key supplier for various industries, the Covid-related shutdowns across the country have effectively hurt not only its local economy but the global supply chain as well. Shanghai’s residents have reported income losses, lack of steady food supplies, and separation from their families during the city’s recent lockdowns.
Two sources have informed Reuters that Tesla is already preparing to restart Gigafactory Shanghai, potentially on Tuesday. Initially, the target was to have the electric vehicle production facility return to a single-shift system on Monday, but one supplier’s difficulties reportedly resulted in the restart goal being pushed back a day. As per previous reports, Tesla would be adding shifts to its operations following its planned single-shift restart as needed.
It’s not just Tesla that is looking to return to work in China’s automotive sector. SAIC Motor, which produces the Wuling Mini EV with American carmaker General Motors (GM), has noted that it would be stress-testing its own production resumption initiatives on Monday local time.
Gigafactory Shanghai’s vehicle production operations have been paused since the end of March. Considering that the Shanghai-based electric vehicle factory has been estimated to produce about 2,100 cars per day, the facility’s three-week shutdown would likely result in a notable decline in Tesla’s vehicle production and delivery numbers for the second quarter of 2022. It is also estimated that Giga Shanghai’s production ramp after it resumes production will not be an instant process.
The long shutdown of Gigafactory Shanghai has resulted in some unfounded rumors emerging. Earlier this month, for example, it was reported that Giga Shanghai would be reopening its doors in mid-May. The rumor was eventually debunked by Tesla China, which noted that the information was false. Tesla China VP Grace Tao also stated that Tesla is currently looking for clues that could help the company determine where the false information originated.
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