The Tesla Shanghai Energy Storage Megafactory, which commenced operations in February 2023, specializes in the production of Megapack energy storage systems with an annual production capacity of 40 gigawatt-hours (GWh). Currently, the factory's localization rate for energy storage products has surpassed 95%, and it has exported numerous units to Europe, Oceania, and beyond. Concurrently, the factory has initiated the supply of energy storage products to domestic industrial and commercial clients, aiming to capitalize on peak-to-valley electricity price differences for arbitrage and minimize energy consumption costs. Tesla's energy storage segment is experiencing rapid expansion, with an estimated installed capacity of 31.4 GWh by 2024 and a projected year-on-year growth rate of at least 50% in 2025.

Furthermore, the first grid-side energy storage power station project in mainland China utilizing Megapack technology has been launched in Lingang. Phase I of this project is anticipated to be completed and operational within the year, boasting a storage capacity of 300 megawatt-hours (MWh).