China-made Tesla Model Y Tops Japan's Single-Model Import Registrations in May 2026

In May 2026, the Tesla Model Y produced at the company’s Gigafactory Shanghai became the top-selling imported vehicle model in Japan by new vehicle registrations. Since delivering its first locally produced Model 3 to employees on December 30, 2019, Tesla has continuously advanced localization of production at the Shanghai facility. By 2025, the localization rate of components for Model 3 and Model Y vehicles manufactured at the plant had exceeded 95%. Tesla has established partnerships with over 400 Chinese supply chain companies, more than 60 of which have been integrated into Tesla’s global procurement system. The company invested RMB 33.1 billion in research and development in 2024, and RMB 10.3 billion in the first quarter of 2025 alone. On July 10, 2018, Tesla signed an agreement with the Shanghai Municipal Government and the LinGang Special Area Administrative Committee to build a wholly owned, integrated Gigafactory in LinGang, encompassing R&D, manufacturing, and sales.