Tech

Tesla reportedly halts car production at Chinese factory

Key Points
  • Tesla suspended production this week at its plant near Shanghai, Bloomberg reported. 
  • Factory workers were told to return from a holiday break as soon as May 9 instead of May 6, according to the report.
  • The move means Tesla isn't making any cars worldwide, as its California plant is closed due to the Covid-19 pandemic. 
A gigafactory of electric carmaker Tesla is seen in Shanghai, China October 18, 2019.
Aly Song | Reuters

Tesla suspended production this week at its plant near Shanghai, Bloomberg reported

Factory workers were supposed to return from a five-day Labor Day break on Wednesday, but were told to extend the holiday and return as soon as Saturday, Bloomberg reported, citing unnamed sources. 

Tesla did not respond to multiple requests for comment on the report.  The company told Bloomberg that its Shanghai factory is closed for normal maintenance work.

It's unclear why Tesla halted its operations at the plant that's normally operated six days a week. But the move means that Tesla isn't making any cars worldwide, as operations at its California plant are suspended due to the coronavirus. Tesla previously closed the Shanghai plant for about two weeks amid Covid-19 health orders there, but resumed quickly with help from local government. 

Bloomberg reported that the company is fixing problems with a crucial piece of manufacturing equipment and could also start seeing delays in receiving Model 3 parts. Some Tesla employees are on-site at the Chinese plant for inspection, maintenance and repair, Bloomberg reported.

Read the full story from Bloomberg.

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