Artful Dodger
"Neko no me"
I doubt they will need to deliver 700K cars on ships next year. This is the approximate total capacity of Shanghai.
For $422M I hope it is a multi year contract the price seems high for 1 year of cars.
That sounds like a bargain for shipping to Europe via the Suez Canal. If Giga Shanghai production is 844K next year, and half of those cars are shipped to Europe, that's 422K exports at a cost of $1K per each car shipped.
But there are two other important implications of this news:
- Tesla has locked in logistics support for the coming year at a time when it is extremely challenging for logistics, and
- Tesla has production planning for at least 1 year in advance; likely that Giga Shanghai production exceeds 800K in 2022.
It's going to be a very happy and productive New Year!
Cheers!