TeslaThis week, the Shanghai plant saw a reduction in vehicle production due to part shortages.

Junheng Li (CEO of JL Warren Capital) stated that authorities temporarily closed the Aptiv factory in Shanghai’s Jiading area after a Covid case was discovered. Aptiv manufactures a cable harness that is used in Tesla’s electric crossover, Model Y.

JL Warren research confirmed that Tesla had temporarily shut down Model Y production lines at Shanghai Gigafactory.

Reuters was the first to report on it. production issuesTesla Shanghai.

China’s President Xi Jinping met with the top Chinese leaders last week. He stressed that China must stick to its “dynamic zero Covid” policy. He asked the country to stand behind the decisions made by central committee members of the Chinese Communist Party in order to “resolutely combat” any questions about virus control policies.

Li of JL Warren said that this statement gave the authority to all local authorities prioritize zero-Covid above regional economies. Therefore, automakers continue to plan week-by week and day by day. She expects that parts shortages and supply chain problems, as well as production shut downs will continue to plague the industry for the near future. JL Warren Capital, which has more than 200 consultants in China is an expert in market research.

Last month’s dramatic impact on Tesla’s China production by Covid Lockdowns was also felt in China.

China Passenger Car Association statistics out TuesdayIn April 2018, Tesla sold 1,512 Chinese-made electric cars in China. This is a 95% drop from March. The company produced approximately 10,757 cars in its Shanghai factory in April. However, it did not export any of these vehicles to Europe and other Asian countries as it did in the previous months.

Tesla has sold 183 686 of its Chinese-made electric cars in the first quarter of 2022. CPCA estimates that 73 874 of these vehicles were exported from the country.

Elon Musk, CEO of Tesla said Tuesday during an interview. interview with the Financial Times“I had conversations with the Chinese government recently, and it’s evident that the lockdowns have been lifted quickly, so I don’t think this will be an issue in the coming week.”

At the first quarter earnings call, Tesla’s Chief Financial Officer Zachary Kirkhorn explained that “we have lost around a month in build volume from our Shanghai factory due to Covid related shutdowns.” The production is now resuming, although at very limited levels. We’re trying to return full production as soon as possible. It will have an impact on total build and volume of delivery in Q2.

Aptiv, Tesla and others did not reply to our requests for comments on China’s production numbers or the CPCA.