Construction on the Tesla Shanghai Megafactory, which will produce energy storage systems, is expected to wrap up by the end of this year. The entire process from groundbreaking to completion will have taken just seven months, shorter than that of the Tesla Shanghai Gigafactory, which specializes in vehicle manufacturing.

Construction site of Tesla Shanghai Megafactory. [Photo/IC]

The Megafactory represents the second major investment project by Tesla in China since the US company entered the Chinese market a decade ago. Breaking ground in the Lin-gang Special Area of Shanghai on May 23 this year, the factory will go into production in the first quarter of 2025, with an annual capacity of 10,000 Megapack commercial energy storage units. The products from this factory will be supplied to the global market.

Shanghai has played a pivotal role in Tesla's China expansion. Data from the company shows that the municipality boasts the most Tesla Supercharger stations in the country. Tesla currently has 204 Supercharger stations and 1,540 supercharging stalls in Shanghai, ranking first domestically.

The Tesla Shanghai Gigafactory already serves as a vital export hub for the company, with products being shipped to Europe, Asia-Pacific and other markets. A notable milestone was achieved in September when the 1 millionth Model 3 vehicle, destined for overseas markets, rolled off its production line and was shipped to the United Kingdom.