## July Production

As expected, after [record setting](https://www.shareloft.com/article/tesla-sets-production-record-at-giga-shanghai/) production from Giga Shanghai in June, Tesla's production dropped in July due to scheduled downtime to upgrade Model 3 and Model Y production lines. Total production from Giga Shanghai in July was 38,719 vehicles according to data from the China Passenger Car Association (CPCA) acquired by Shareloft. This included 27,458 Model Y and 11,261 Model 3 vehicles. 

## Record Rate

While at first glance total production may seem underwhelming, it is critical to understand in the context of Tesla's factory upgrades. Model 3 production was online for only 13 out of 31 calendar days in July before shutting down for upgrades which were completed on August 7. A closer examination of Model Y production provides much more insight.

From July 1 through July 15, the Model Y line at Giga Shanghai was being upgraded. That leaves July 16 through July 31 for the entire monthly production of 27,458 Model Y. Over those 16 calendar days, Tesla averaged daily production of 1,716 Model Y vehicles, or just over 12,000 per week - a new record production rate for the Model Y in Shanghai.

Restarting production after implementing upgrades likely involves some inefficiencies, so Tesla should be able to continue to push that production rate higher in the coming months. The current rate would already yield production of more than 50,000 Model Y vehicles per month from Giga Shanghai.

With the Model 3 production upgrade now complete, Tesla should be set up in August to eclipse June's record production of 70,928 vehicles. Shareloft annual members can access a detailed forecast for Tesla through 2030 on the [Research](https://www.shareloft.com/research/) page.

## July Sales

The CPCA also reported that Tesla sold 8,461 vehicles in China in July while exporting 19,756 vehicles. The combined figure of 28,217 vehicles, known as "wholesale" sales, coming in significantly below production should not be surprising given the backloaded production schedule during the month. The additional 10,500 vehicles that were produced will be recognized as sales later in the quarter.