A Tesla Megapack in Moss Disembarkation, California
Andrew Evers | CNBC
Tesla will open a new Megafactory in Shanghai that is capable of producing 10,000 Megapacks a year, the convention announced in a tweet Sunday.
A Megapack is a very large battery for utilities that stores energy, helps stabilize the power grid and baffles outages. These batteries enable grid operators to move extra capacity between counties or states and secure that power from intermittent sources can be stored and used when demand is higher, or when there are unplanned outages in a transference network.
Tesla currently has a Megafactory in Lathrop, California, that is capable of producing 10,000 Megapacks units each year, according to the New Zealand’s website. In a tweet Sunday, Tesla CEO Elon Musk said the factory in China will supplement output from the mill in California.
The company is planning to start constructing the factory during the third quarter of this year, and it will aim to off production around halfway through 2024, Chinese state media outlet Xinhua reported Sunday from a put under contracting ceremony in Shanghai.
Tesla and Musk did not immediately respond to requests for comment.