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Tesla Gigafactory Shanghai to exit “closed-loop” system on June 11

Credit: @TheEVuniverse/Twitter

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Tesla Gigafactory Shanghai is exiting its closed-loop system, which was adopted as a way to resume operations despite the city’s strict Covid-19 lockdowns. With the termination of the closed loop, Giga Shanghai workers would now be allowed to travel between their homes and work freely. 

Tesla China employees at the Shanghai-based EV plant have been in a closed-loop since April 19. Giga Shanghai was shut down in late March as the city prepared to enter a strict lockdown to battle the Covid-19 virus, and it took over three weeks before Tesla was allowed to resume operations at the plant. 

As per a report from the South China Morning Post, Tesla’s plans to exit Giga Shanghai’s closed-loop system were related by two executives with the electric vehicle maker’s suppliers. With the end of the closed-loop system, Tesla China could fully focus on ramping its vehicle production, especially as the final month of the second quarter has already begun. 

Tesla has not issued a comment about Giga Shanghai’s return to normal operations. However, the company did state last month that it had identified new land for a new assembly line that could boost its output even further. Tesla has also stated that it could add shifts at Giga Shanghai to make up for lost production. 

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While returning to normal operations has been a steep challenge for the EV maker, reports have stated that Giga Shanghai was still able to reach an output of 2,600 Model 3 and Model Y in one day in late May. That was on par with the facility’s output before operations were idled on March 28. 

Tesla Gigafactory Shanghai is the company’s primary vehicle export hub, with the facility providing Model 3 and Model Y to territories such as Japan and Europe. The facility shipped over 163,000 vehicles to major markets in 2021, accounting for about a third of the facility’s total output of 484,130 vehicles. This number is poised to increase in the future, especially as Tesla builds its new production facility and optimizes Giga Shanghai further. 

Don’t hesitate to contact us with news tips. Just send a message to simon@teslarati.com to give us a heads up.

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Elon Musk

Elon Musk estimates Tesla Semi could reach Europe next year

“We’ve got the Tesla Semi coming out, the heavy truck, and that’ll be going to Europe hopefully next year,” Musk said.

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Credit: Tesla

Tesla is preparing to expand its all-electric Semi truck program to Europe, with CEO Elon Musk indicating that the Class 8 vehicle could arrive in the region 2027.

Musk shared his update during an interview about Giga Berlin with plant manager André Thierig, which was posted on X by the official Tesla Manufacturing account.

“We’ve got the Tesla Semi coming out, the heavy truck, and that’ll be going to Europe hopefully next year,” he said.

Tesla has already begun limited production and customer deployments of the Tesla Semi in the United States, with the company working to scale output through the Semi factory near Giga Nevada. Considering Musk’s comments, it appears that a European rollout would be the next phase of the vehicle’s expansion beyond North America.

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Musk’s use of the word “hopefully” leaves room for flexibility, but the remark signals that Europe is next in Tesla’s commercial expansion plans.

Musk has consistently argued that electrification should extend beyond passenger vehicles. During the same interview, he reiterated his view that “all ground transport should be electric,” adding that ships, and eventually aircraft, would follow.

The Semi plays a central role in that strategy. Heavy-duty freight remains one of the most emissions-intensive segments of road transport, and European regulators have increasingly pushed for lower-emission commercial fleets. 

Tesla recently refreshed the Semi lineup on its official website, listing two variants: Standard and Long Range. The Standard trim offers up to 325 miles of range with an energy consumption rating of 1.7 kWh per mile, while the Long Range version provides up to 500 miles, which should be more than ample for European routes.

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Elon Musk

Tesla Cybercab coming next to Giga Berlin, Optimus possibly after

“From a next major product standpoint, I think most likely is the Tesla Cybercab,” Musk said.

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Credit: Cybercab

Tesla could add the Cybercab and Optimus humanoid robot to the production lineup at Giga Berlin, as per recent comments from CEO Elon Musk. 

During a recent interview with Giga Berlin plant manager André Thierig, Musk identified the Cybercab as the most likely next major product for the German factory, with Optimus potentially following after.

“From a next major product standpoint, I think most likely is the Tesla Cybercab,” Musk said. He added that there are also “possibilities of Tesla Optimus” being produced in the facility.

Tesla has already begun production of the Cybercab in Giga Texas, with volume production expected to ramp this year. Based on Musk’s comments, it appears that if conditions align in Europe, Giga Berlin could eventually join that effort.

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The CEO’s comments about Optimus coming to Gigafactory Berlin are quite unsurprising too considering that Musk has mentioned in the past that the humanoid robot will likely be Tesla’s highest volume product in the long run. 

Giga Berlin will likely be able to produce mass volumes of Optimus, as the Model S and Model X lines being converted to an Optimus line in the Fremont Factory are already expected to produce 1 million units of the humanoid robot annually. 

Apart from his comments about the Cybercab and Optimus, Elon Musk also confirmed that Giga Berlin has started ramping battery cell production and will continue expanding Model Y output, particularly as supervised Full Self-Driving (FSD) gains regulatory approvals in Europe.

Taken together, the remarks suggest Berlin’s role could evolve beyond vehicle assembly into a broader multi-product manufacturing hub, not just a regional Model Y plant.

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Energy

Tesla Powerwall distribution expands in Australia

Inventory is expected to arrive in late February and official sales are expected to start mid-March 2026.

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Credit: Tesla

Supply Partners Group has secured a distribution agreement for the Tesla Powerwall in Australia, with inventory expected to arrive in late February and official sales beginning in mid-March 2026.

Under the new agreement, Supply Partners will distribute Tesla Powerwall units and related accessories across its national footprint, as noted in an ecogeneration report. The company said the addition strengthens its position as a distributor focused on premium, established brands.

“We are proud to officially welcome Tesla Powerwall into the Supply Partners portfolio,” Lliam Ricketts, Co-Founder and Director of Innovation at Supply Partners Group, stated.

“Tesla sets a high bar, and we’ve worked hard to earn the opportunity to represent a brand that customers actively ask for. This partnership reflects the strength of our logistics, technical services and customer experience, and it’s a win for installers who want premium options they can trust.”

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Supply Partners noted that initial Tesla Powerwall stock will be warehoused locally before full commercial rollout in March. The distributor stated that the timing aligns with renewed growth momentum for the Powerwall, supported by competitive installer pricing, consumer rebates, and continued product and software updates.

“Powerwall is already a category-defining product, and what’s ahead makes it even more compelling,” Ricketts stated. “As pricing sharpens and capability expands, we see a clear runway for installers to confidently spec Powerwall for premium residential installs, backed by Supply Partners’ national distribution footprint and service model.”

Supply Partners noted that a joint go-to-market launch is planned, including Tesla-led training for its sales and technical teams to support installers during the home battery system’s domestic rollout.

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