AsianFin -- Tesla said on Tuesday that for every Model 3 and the refreshed Model Y, over 95% of the parts are produced in China.

A video released by Tesla revealed that the localization rate of the Model 3 and the refreshed Model Y manufactured at the Shanghai Gigafactory has exceeded 95%.

This high localization rate not only reflects Tesla's deep integration into the Chinese manufacturing ecosystem but also indicates the strong supply - chain capabilities in China. It showcases China's position as a global manufacturing hub, capable of meeting the high - quality and large - scale production needs of international automotive giants.

The high proportion of locally - sourced parts is likely to have multiple positive impacts. It may contribute to cost reduction, which could potentially be passed on to consumers in the form of more competitive pricing. Additionally, it also strengthens the local industrial chain, promotes the development of related industries, and generates more job opportunities in China.

This move further consolidates Tesla's position in the Chinese market and also demonstrates its long - term commitment to local production and development in China.