A new CATL battery factory near Giga Shanghai has begun shipping products to Tesla, the sources said. According to a source at CATL, deliveries began 2 months ago – back in November 2021. These products from CATL will allow TESLA to produce more vehicles to meet the high demand its been facing.
Last November, Tesla invested $188 million to expand Shanghai factory capacity hiring more 4,000 staff bringing the total up to 19,000 workers. Tesla’s Shanghai factory was initially designed to make up to 500,000 cars a year, and currently has the capacity to produce 450,000 vehicles a year.

Since batteries are one of the major bottlenecks, having more of them could mean Tesla can now continue to ramp up production and supply more vehicles to customers.
Last August, CATL has confirmed that it has signed documents with the Shanghai government to build a new manufacturing facility. The battery plant is located near Tesla’s Giga Shanghai.