Faisal Mahmud
23 September 2026•Update: 23 September 2026
Tesla CEO Elon Musk praised China’s manufacturing capabilities and workforce, describing the US electric vehicle maker’s Shanghai Gigafactory as “a gem,” Chinese media reported Wednesday.
Musk credited the factory’s success to Tesla’s Chinese employees, praising their talent, dedication and manufacturing efficiency in an interview with CCTV Finance, according to the state-run Global Times.
“The quality is excellent, and the efficiency is excellent,” Musk said. “In terms of the Shanghai factory, it’s a gem. It’s beautiful.”
The Shanghai Gigafactory, which began production in 2019, has produced more than 4.5 million vehicles, accounting for over 45% of Tesla’s cumulative global output, according to the report.
Tesla operates two major manufacturing facilities in China, both in Shanghai: the Gigafactory, which produces Model 3 and Model Y vehicles, and a Megafactory that produces its Megapack energy-storage batteries.
In 2025, Tesla’s Shanghai plant recorded wholesale sales, including exports, of about 852,000 vehicles, while retail sales in China stood at nearly 626,000.
China remained Tesla’s second-largest market after the US last year. The company generated $20.96 billion in revenue from China in 2025, largely unchanged from $20.94 billion a year earlier, according to Tesla’s annual filing.
Musk also encouraged people to visit China, highlighting Shanghai, Beijing and Xi’an as destinations.