The Tesla Shanghai Megafactory will start volume production on February 11, 2025. It took the American company seven months to finish the construction of this factory. Its trial production kicked off in late 2024. This plant is the first Tesla’s energy storage project outside the United States.

Tesla launched the construction of the Megafactory plant in May 2024. Not to be confused with Tesla Shanghai Gigafactory, the Megafactory focuses on the manufacturing of energy storage batteries called Megapacks. Tesla aims to start the mass production of this solution in Q1 2025 with a planned production capacity of 10,000 units per year. It is 40 GWh of energy storage.

According to the Xinhua-owned Shanghai Securities News, the Shanghai Megafactory in Lingang district in Pudong, Shanghai, will start volume production on February 11. The plant will ramp-up its capacity during the first quarter. The first customer of the Tesla Megafactory is Shanghai Lingang Economoic Development Group. It signed the first orders for Megapack energy storages in May last year.

Energy storage system is a rapidly developing sphere in China. In utility using scenarios, it helps the grid to operate stably while using green energy as energy storage systems often work with solar panels. Such companies as BYD, Star Charge, CATL, GoodWe, and other enterprises develop the energy storage infrastructure. So, Tesla has strong competition in this sphere as it is already quite crowded in China. It is worth mentioning that CATL and BYD act as battery cells suppliers for the Megafactory.

The Tesla Megapack can store over 3 MWh of energy. Other benefit of this system is scalability and modular structure. According to the source, 3MWh of energy are enough to power 3,600 homes in Shanghai for an hour. It will help to prevent power outages.