"Tesla's Production Cut at Giga Shanghai Sparks Stock Slump"
Tesla is reportedly reducing production output at its Giga Shanghai plant for the Model 3 and Model Y in response to the competitive and diverse electric vehicle market in China. The company aims to align production with demand and is adjusting work schedules accordingly. With increasing competition and consumer focus on affordability, Tesla is working on a next-generation platform to lower vehicle costs, but expects a slower growth rate until the introduction of the new EV in late 2025. Despite previously raising Giga Shanghai's annual capacity estimate, recent figures show a decrease in insurance registrations year-over-year.