Part 6/9:
Some of the recent issues can be linked to broader policy shifts in China. The country’s zero-tolerance COVID-19 policies, which recently eased, have significantly impacted factory operations—workers falling ill and temporary closures being a common challenge. Although these policies do not directly justify total shutdowns, they create operational hurdles.
Additionally, the timing of the shutdown coincides with cultural periods like Chinese New Year, during which domestic demand often wanes and factories might operate differently. Notably, the Chinese New Year is not celebrated in the West with the same enthusiasm, so its impact on Tesla’s Chinese operations remains uncertain but likely minimal outside local contexts.