Shanghai factory powers robust Q1 for Tesla

Tesla reported a 16 percent year-on-year revenue growth in the first quarter, driven by robust performance at its Shanghai Gigafactory and expanding infrastructure in China, while gearing up for the highly anticipated debut of its third-generation humanoid robot in mid-2026.

The company released its first-quarter financial results on Thursday, reporting total revenue of $22.4 billion, benefiting from increased vehicle deliveries and growth in other business sectors.

Global deliveries exceeded 358,000 units, up 6.5 percent year-on-year, while global production topped 408,000 units, a 12.7 percent increase. Notably, the Model Y retained its title as the best-selling vehicle across multiple global markets.

According to the report, Tesla's Shanghai Gigafactory played a crucial role in this growth, delivering 213,000 vehicles in the first quarter, a 23.5 percent increase from a year earlier. In March alone, the plant delivered over 85,600 electric vehicles.

"The gigafactory in Shanghai is playing an increasingly important role in Tesla's global production and export network, with its product localization rate now exceeding 95 percent," said Grace Tao, vice-president of Tesla.

In the Chinese domestic market, Tesla's March sales surpassed 56,000 units, surging 47 percent month-on-month, making the Model Y the top-selling passenger car in the country. Meanwhile, the Model YL, a large six-seat luxury SUV whose design, research and manufacturing were led by China, is currently rolling out in multiple Asia-Pacific markets and sparking a booking frenzy.

Tesla is also rapidly expanding its charging infrastructure. In March, the company launched a Supercharger project in Chongqing's highway service areas, activating 55 stations in its first batch. This marks Tesla's largest single investment in highway Supercharger stations in China.

As of April, Tesla has achieved 100 percent coverage of provincial capitals, municipalities and most prefecture-level cities in the Chinese mainland. Globally, Tesla added 2,200 Superchargers in the first three months, a 19 percent year-on-year increase. The worldwide network now boasts over 8,000 stations and 80,000 Superchargers with a 99.95 percent uptime, delivering 1.8 terawatt-hours of electricity in the first quarter alone.

During the earnings call, CEO Elon Musk described 2026 as a highly exciting year for Tesla. He said the company is heavily investing in core technologies — including batteries, powertrains, artificial intelligence software, AI training and chip design — while strengthening its supply chains.

This infrastructure push lays the groundwork for its accelerating autonomous robotaxi services and future robotics business. As of the end of March, global paid users for Tesla's smart driving assistance have approached 1.3 million.

Beyond EVs, Tesla is accelerating its AI and robotics ventures. Its digital robot business marks a new stage in its AI development, aiming to automate digital tasks and build new capabilities to complement real-world AI applications. Musk reiterated that the humanoid robot will become Tesla's most important product, and potentially one of the most important products in human history.

The third-generation humanoid robot, featuring the latest hand design, is expected to debut in mid-2026. Referring to Tesla's first mass-produced humanoid robot, Musk said it will look so human-like that people might easily mistake it for a human. He also revealed that the robot will possess enough local intelligence to work offline and unsupervised for hours.

Preparations for Tesla's first large-scale humanoid robot factory will begin in the second quarter, replacing the California factory's Model S and Model X lines with an initial designed annual capacity of 1 million units. A second production line is being prepared at the Texas Gigafactory with a long-term capacity of 10 million units, expected to start production next summer. Currently, hundreds of humanoid robots have already been deployed in Tesla factories to learn production and life skills.

With over 9 million vehicle owners worldwide and a planned capital expenditure of over $25 billion for 2025 to 2026, Tesla is fast evolving into a comprehensive tech company encompassing autonomous driving, humanoid robots, EVs and sustainable energy, the report said.

renqi@chinadaily.com.cn