Tesla’s next Megapack battery storage factory will be in Shanghai

Tesla Shanghai and Lin-gang Special Area administrators sign the project off in a ceremony. | Image: Tesla

Tesla’s building a new “Megafactory” in Shanghai, the automaker announced yesterday at a signing ceremony. The facility will be designed to manufacture Tesla’s commercial Megapack battery energy storage units, with the goal of eventually producing about 10,000 systems per year, according to the automaker.

Tesla currently produces its Megapack energy storage units at its Gigafactory in Nevada, where it also makes battery packs for Tesla vehicles and Tesla Energy products like the Powerwall battery. Unlike the Powerwall, which is largely designed for residential battery backup and pairs with Tesla’s solar energy offerings, the Megapack is designed for major commercial projects.

The company is in the process of moving Megapack production to…

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