Tesla Giga Shanghai Expansion, Capacity, Run Rate, Batteries

0:00 Intro
1:27 CATL
3:35 New Fab
5:29 New Vehicle
7:00 Summary

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This video is meant for entertainment purposes, not Tesla stock investment advice.

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[richardalexander]

Really good to hear Shanghai's government had been helpful getting Giga back online, and that Tesla had expressed their appreciation.

[dr-k]

Hey TE. It looks like that dose of good news we wanted has arrived via Shanghai. I had been wondering about the expansion of the factory and if we would get news about the construction they were in the middle of. This is even better. I hope you recall that months ago there were stories of a new factory in China in a different location that were rumored for a new vehicle. Looks like the new factory was real, but not the province.

CATL must be so excited to have such a huge and growing customer that wants every cell they can make! It appears Tesla will continue to be a top tier customer for a long time.

The moves local government made to get Tesla and their suppliers back up and running (needed and necessary) is an interesting inside look at how much a local council can do while still being under the rules of the central government.
The Shanghai vengeance comment Elon made now has some evidence to back up his comment.

It is wild that Tesla is still sandbagging their production and MOST don't seem to see it or have not looked at the numbers enough to extrapolate what is coming.

Wait times for all Tesla models ordered TODAY have been pushed out further into next year. The demand is nuts for Tesla. The new factory will have all of its capacity swallowed up by the de.and, hands down.

This news has refocused attention on China, but we have two giants that Tesla is currently waking up. Austin is delivering cars to employees. Germany is also doing deliveries, but I currently don't know how many leave the factory.

All in all, it appears that we MAY SAVE Q2 with Fremont (also increased production rumored by 10-20% via analyst Chowdry) Shanghai, Austin and Berlin.

I hope this isn't the only good news we get today. The FED takes center stage today.

[YouT-DJ]

Hopefully IDRA can deliver on all the required casting machines. This may be the long awaited opportunity to start producing front and rear casting Model 3s. I'm waiting for the other shoe to drop on these new factories.... where Tesla demonstrates they can make different models from any line. Cheers

[mimmipiggast]

Tesla must be a dream customer for CATL, buying everything they can produce. I do hope the new building is a joint research facility. Can't wait to see the Tesla LFP.
I was thinking about some other model than 3 and Y for the new factory. Could it be possible that the design departement in Shanghai is working on something? But I can't imagine what it could be, besides the compact Elon said they aren't working on.

[tiborpalatka]

thanks Lee! I generally agree although you sometimes mention start of '24 and sometimes "in two years" which is about "mid '24" :) anyway 4m run-rate anytime in '24 would be amazing, 4m deliveries in '24 would be... ...I would not have words for it :)

[shakthikumar]

I'm thinking of rolling over my 2023 June leaps to 2024 Jun, with a potential of 10-20x returns.

[eugeniustheodidactus]

And when Tesla says "450, 000 cars" they mean *"2 million!"*

[audience]

Hope I can avoid panic buying while waiting for another dip.

[jupiterjames]

Monopsonizes - haven’t heard that word since undergrad!! But perfectly describes Tesla and CATL

[iakona]

Tesla Shanghai is out of control. If only Giga Berlin and Giga Texas could scale up production of cars and batteries at that rate.

[aitchvee]

Remember the Chinese R&D centre was meant to be designing a Chinese compact model and CATL is supposedly building a Sodium battery plant to start next year...

[tipstesla]

I hope they build the 3 with a giga press, depending on the demand, if they could pump out 3 and Y with the front and rear press and structural pack they could hit 5mil a year imho

[richmargin]

There will be a China model that will be build at GigaChina only. The design team in Beijing is working on that now. If Tesla is smart, it will mostly be a body design change so they can still use the same production line for everything underneath

[starshipcaptain]

So this is not an expansion but a new GigaFactory? Do you think this counts as one of the announcements Elon said they would make this year on new GigaFactories or this one was just a given.

[skinnymoonbob]

So many catalysts building up and the market doesn’t respond at all. Guess we have to wait for some hard earnings to come in before we move above $1, 000.
Current 2023 PE is about 60?

[richmargin]

Tesla should have gigaBerlin and GigaTexas near full first stage capacity by end of 2022. So numbers for 2023 will be mind boggling when we get a full year of this capacity PLUS the China expansion in 2023. Yep. Numbers will start to soar and look ridiculous starting at second half of this year. Exponential explosion! Thats why i am buying on every dip this year. Macro news is holding down the stock but even that wont be able to contain it by next year. Inflation and higher interest rates will be old news by 2023. Market will look for stocks to put their money to work. It wont be the ones that cant even survive Q1 2022 like netflix, amazon and lyft. They will have no choice but to put their money into Tesla cause it will be the best performing stock. MASSIVE FOMO COMING IN 2023! And that’s NOT including the robot and FSD coming soon!!

[cw]

China loves Tesla, and Tesla loves China. I guess Tesla will build a Giga factory in Southern China. Maybe in Guangzhou.

The fact that India doesn’t welcome Tesla leaves Tesla no choice but keeps building more Giga factories in China.

[daveriley]

The new Shanghai factory will produce vehicles INCLUDING the 3 and Y. It will also produce the China-designed small car. You can take that to the bank.
Elon said that for 2022 Tesla is focused on ramping production of the currently available 4 models. He DID NOT say that no work is being done this year on the Cybertruck, Semi, Roadster, Optimus Bot and the China-designed car. He did not lie about this vehicle being developed throughout this year. You simply are misinterpreting what he said.
Note: He also did not say that no work is being done in Germany on the next vehicle to be built there. Please don't act as if it's some huge surprise when news of that comes bubbling to the surface over the next 18 months. It is also ongoing.

[WillNGo]

Tesla with two brand new factories, the largest and most advanced in the world, has just announced plans to build a third new factory - starting almost immediately! that will triple the capacity of their Shanghai the stock is down $12/share.... Huh??? "You're traveling through another dimension.... That's the signpost up ahead - your next stop, the Investing Twilight Zone!" As everything gets better and better the share value goes down...
Good video. Makes absolute sense that in China Chinese battery partners would get to expand as rapidly as Tesla and that Tesla wouldn't make its own batteries there. (Tesla and the Chinese are in a partnership arrangement - everybody does well or 'why are you here?') CATL building a factory right next to Giga Shanghai? The plan might be for Model 3 structural battery packs to built there.
The stock value is now -- $20.. (is Elon selling again?) This makes no sense. If GM announced, "We've made a new plan to reduce screwing up by 20% over the next five years and plan to raise the cost of battery production three times by 2035..." the market would go nuts (and Mary Bara would be invited to the White House - again).
I think we might eventually - inevitably - see another TSLA +3X over a short period (months), but not until we've all been broken, and we're sitting in a corner drooling and mumbling.

[raylachman]

P/E Ratio of 10, translates to a stock price of what ?