Probably the only good news from there.
The novel coronavirus source has been traced to the capital of China's Hubei province, Wuhan. Within only a couple of months, it has spread throughout the world causing a global pandemic not seen in over a century. It's definitely not the kind of image China wants to have but facts are facts. However, not all of the news coming out of China is bad, thanks to Tesla. Twitter user Moneyball has shared a report from Chinese media claiming Tesla is building around 3,000 Model 3s per week.
Why is this relevant? Because Tesla Gigafactory 3, located in Shanghai, has now surpassed its previous weekly production record of about 2,000 Model 3s. That figure was set last year and the factory remains on a quest to fulfill its 150,000 unit yearly target. The Tesla Model 3 is vital to the automaker's long-term success.
The report reads: "We have surpassed 2019 end weekly production of 2 K units, and we will expedite things as to achieve 150 K/year production target, Tesla Shanghai says. As of Mar 6th, Tesla GF3 resumed 91% of its operations, co added."
If the current production rate remains, then the factory will churn out 12,000 units per month, bringing it far closer to its yearly target figure. Obviously this is good news for Tesla, especially since it's being forced to shut down its Freemont, California factory in the next few days. Freemont also builds the Tesla Model Y, Model S, and Model X.
It still remains unclear how long that shutdown will last. Another question is whether Shanghai can help make up the production difference from California. It might be possible for the current business quarter but less so for Q2 2020. Another thing potentially working in Tesla's favor is that it's far less reliant on the supplier network. Tesla makes a majority of its components in-house, unlike nearly all other mainstream brands.
As automotive factories continue to be shuttered worldwide, Tesla may be able to weather the storm better in the long run, but it's still way too premature to say for sure.