Tesla has officially started trial production at its Megafactory in Shanghai, which specializes in producing energy storage products. The factory, which began construction in May, has completed its construction in just seven months, according to a report by state-run Xinhua News Agency.
The Megafactory is located near Tesla’s vehicle assembly plant in Lingang, Shanghai. It has already begun trial production and is expected to commence mass production in early 2025, as confirmed by sources at Tesla China.
This Megafactory marks Tesla’s first energy storage project outside of the United States. The factory’s primary product is the Megapack, an ultra-large commercial energy storage battery designed for the global market. Tesla’s energy storage product lineup also includes Powerwall and Powerpack.
Construction on the Megafactory began on May 23, and Shanghai Lingang Economic Development Group became the first customer in China for Megapack, signing a contract with Tesla for the initial orders at the groundbreaking ceremony in May.
The Megapack production at the Megafactory is expected to reach up to 10,000 units per year, with a total energy storage capacity of nearly 40 GWh. This amount of power is sufficient to supply electricity to 50,000 homes in Shanghai for a year.
Each Megapack unit can store more than 3 MWh of energy, enough to power 3,600 homes for an hour. The Megapack plays a crucial role in stabilizing the grid and preventing power outages by storing and supplying energy as needed.
In addition to CATL, FinDreams has emerged as a new cell supplier for Tesla’s energy storage business. The company is set to begin supplying Tesla with cells for energy storage in the first quarter of 2025.
The completion of the Megafactory in Shanghai signifies a significant milestone for Tesla’s energy storage division. With mass production set to begin in early 2025, Tesla is poised to make a substantial impact in the global energy storage market.
