Tesla suspends Shanghai factory ops as COVID-19 outbreak worsens
Xiaolu Chu/Getty Images News


As China tightens Covid restrictions to curb the country's latest outbreak, Tesla (NASDAQ:TSLA) announced in a notice sent internally and to suppliers that it is suspending production at its Shanghai factory for two days, Wednesday and Thursday.
The factory also called Gigafactory 3 manufactures Model 3 sedan and Model Y SUV.

In February, the factory produced 56,515 vehicles, including 33,315 for exports to Germany, Japan, according to the China Passenger Car Association. On average, factory produces 2018 vehicles per day.
Toyota, Volkswagen had temporarily suspended its production at three plants in China following a lockdown imposed in the northeastern city of Changchun on Friday.
China has continued to pursue a "zero-COVID" strategy, imposing strict lockdowns and containment measures. The latest wave of local cases has seen authorities double down on the policy, getting investors nervous about the economy.
The country has reported more local symptomatic cases YTD than it recorded in all of 2021. 
Several Chinese cities and provinces, including Shanghai, Shenzhen, have placed more severe restrictions to address the pandemic.