Tesla will be starting construction of a new battery factory in Shanghai this year. The factory is expected to open before the middle of 2024, and when it does, it will be able to make 10,000 ‘Megapacks’. Each Megapack can store enough electricity for about 3,600 homes for an hour! Not only that but Tesla also said they want to sell the batteries made in China across the globe! They’ve already made similar batteries in Texas and South Australia.
Tesla is putting more of its resources in China. The US government believes that car companies should produce more products in the USA, so they set up rules for this. To get a $7,500 electric vehicle tax credit from the Inflation Reduction Act, car batteries must have minerals sourced from the United States or certain other countries. Also, people who got money from the CHIPS Act must sign a promise not to make more things in China.