On the afternoon of May 23rd, the opening ceremony of Tesla's Shanghai Energy Storage Super Factory was held in Lingang, Shanghai. This is Tesla's first energy storage super factory outside of the United States, and it is also another major investment project in China since Tesla entered China ten years ago, following the Shanghai super factory.
Tesla's Shanghai Energy Storage Super Factory will produce ultra large commercial energy storage batteries called Megapacks. After production, the production of Megapacks will reach up to 10000 units, with a storage capacity of nearly 40 gigawatt hours, or 40 million kilowatt hours of electricity generated per hour, which is equivalent to the annual electricity consumption of 50000 households in Shanghai.
Wu Xiaohua, Deputy Secretary of the Party Working Committee of Lingang New Area, said that Tesla Shanghai Energy Storage Super Factory will strive to start, put into production and deliver this year.
Starting in 2015, Tesla launched the Powerwall household energy storage battery and Megapack ultra large commercial energy storage battery in the United States, targeting the household energy storage market and the commercial and industrial energy storage markets, respectively. Among them, Each Megapack unit can store over 3.9 megawatt hours of energy, meeting the electricity needs of 3600 households for one hour, or driving 65 Model 3 rear wheel drive versions at full power.
Data shows that Tesla's energy storage products are currently sold in over 65 countries and regions worldwide, with an installed capacity of 14.7 gigawatt hours for the entire year of 2023. In the first quarter of 2024, Tesla's installed capacity of energy storage products reached a record high of 4.1 gigawatt hours, making it one of Tesla's fastest-growing businesses. In the first quarter, Tesla's energy storage business gross profit increased by 140% year-on-year.
The Tesla Shanghai Energy Storage Super Factory is another important milestone for Tesla in its global energy storage layout. The start of the factory also indicates that Tesla's layout improvement and integrated innovation in multiple areas of electric vehicles, energy storage, and artificial intelligence will enter the next stage.
Tesla Senior Vice President Zhu Xiaotong stated that Tesla is committed to using disruptive technologies to solve fundamental problems in the transportation and energy sectors, forming an innovative technology complex that vertically integrates the entire industry chain of electric vehicles, energy storage products, artificial intelligence (AI), and robotics. Tesla's energy storage business, as an important component of its diversification strategy, is leading the development of the global energy storage market with its leading technology and innovative products. The commencement of the Shanghai Energy Storage Super Factory will undoubtedly further consolidate Tesla's leading position in the energy storage field and promote the progress and development of the global green energy industry.
At the same time, as a major energy project in Shanghai, the construction of the Shanghai Energy Storage Super Factory will also help Shanghai build a green energy system and promote the city's development towards a more environmentally friendly and sustainable direction.
In 2019, Tesla's Shanghai Superfactory created "Shanghai Speed" and "Tesla Speed" with "construction started, production started, and delivery made in the same year". At present, Tesla's Shanghai Superfactory has the ability to produce over 950000 pure electric vehicles annually, making it an important production base and export center for Tesla worldwide. Wu Xiaohua, deputy secretary of the Party Working Committee of the new port area, said that it only took one month from the negotiation of the Shanghai Energy Storage Super Factory to the signing of the contract, which again refreshed the "port speed". He expressed his expectation that Tesla's super factory will play a benchmark role, making the Lingang New Area a gathering place for more world-class enterprises, and helping Shanghai Lingang become a globally influential industrial innovation highland and green low-carbon demonstration zone.
At the event site, Tesla and Lingang Group completed the signing of the first batch of Megapack ultra large commercial energy storage batteries in China. Deng Haoqiang, Deputy General Manager of Lingang Green Innovation Company, told reporters that the 8 Megapacks purchased this time will be used in the energy storage scenario of Youfu Intelligent Computing Center in Lingang New Area to provide safer power protection.