SHANGHAI – Tesla stopped most of its production at its plant in Shanghai due to problems with providing parts for it electric carsaccording to an internal note he saw Reutersthe last in a series of difficulties for the plant.
The automaker’s sales China April had already fallen 98% from a month earlier, data released by the China Passenger Car Association (CPCA) on Tuesday highlighted the blow from China’s COVID-19 hard blockade.
In Shanghai, the sixth week of tightening the lock, which tested the ability of manufacturers to operate under severe restrictions on the movement of people and materials.
Tesla planned to produce fewer than 200 cars at its plant in the city on Tuesday, according to a note well below the approximately 1,200 units a day it increased shortly after recovering on April 19 after a 22-day closure.
Tesla did not respond to a request for comment.
After opening by the end of April, the plant produced 10,757 cars, sold 1,512 of them, according to the CPCA.
This is compared to 65,814 cars sold in March, and was the lowest sales since April 2020, four months after the plant began supplying Chinese-made cars.
In April, Tesla did not export Chinese-made Model 3 and Model Y from a plant in Shanghai, the data show.
Earlier, two people familiar with Tesla’s activities said that the Shanghai plant suspended operations on Monday after facing difficulties with purchasing supplies.
The company sought to increase production at the plant to 2,600 cars a day as early as next week, Reuters reported earlier.
Total passenger car sales in China, the world’s largest car market, fell nearly 36% in April from a year earlier, according to the CPCA. However, sales of battery electric vehicles and plug-ins hybrids – the category of Chinese incentive targets – grew by more than 50%, which contributed to the particularly good performance of BYD and SAIC-GM-Wuling.
Another automotive association assessed last week this overall car sales in China fell 48% in April as blockages closed factories, restricted movement to showrooms and put brakes for expenses.
Shanghai authorities have tightened the citywide regime imposed more than a month ago in a commercial center with a population of 25 million, which could extend restrictions on movement for a month.
(Report by Zhang Yan and Brandy Guo; additional reports by Sophie Yu; edited by Stephen Coates, Kirsten Donavan)