The Shanghai facility, which is already seeing production growth, plans to increase production further and has even advised suppliers to prepare for a “significant increase.”

The new six-seat version of the Model Y is part of Tesla’s broader strategy to combat growing competition from Chinese rivals such as Nio and Zeekr, which have recently introduced roomy and price-competitive alternatives.

While Tesla is focusing on developing autopilot and robotaxis for the US market, the Chinese market is demanding “more practical and family-friendly options.”

Source: Ferra

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