BITE Insights: Tesla CATL in LIngang factory catalyses innovative supply chain system

BITE Insights: Tesla CATL factory catalyses innovative supply chain system and advanced manufacturing companies experience “Lingang speed”

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The Tesla supplier and the leading power battery company CATL demonstrates the speed of development. In March last year, CATL was still investigating the site selection in Lingang. In November, its Lingang factory began supplying products to Tesla's factory a  few blocks away. The Lingang factory is ramping up its production capacity, which has now reached about 60% of the designed production capacity. 

The spill-over effect of these high value-added advanced manufacturing enterprises is significant. The most obvious is that it has      a driving effect on the scale of the industry. In the two years after the Tesla Lingang factory was put into operation, it attracted  a large number of upstream suppliers to locate in Lingang.

On January 6, the Desano AIDS drug research and development project with an investment of 700 million yuan was signed as the company started to set up in Lingang New Area of Shanghai Free Trade Zone, to build R&D and production bases. 

Desano is China's first batch of companies for domestically produced anti-AIDS drugs. Located in Lingang, Desano can not only greatly increase the production capacity of existing products, but also expand product categories and build new production lines, thereby occupying a larger share in both domestic and international markets.

Since the establishment of the Lingang New Area of the Shanghai Free Trade Zone, more and more biopharmaceutical companies have chosen to locate their production bases in the Lingang Blue Bay industrial park, including many high-tech CDMO (Contract Development and Manufacturing Organization) companies. What they are looking for is the strong industrial support policies in the new area and the abundant and well-prepared industrial space for advanced manufacturing.

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Lingang Blue Bay has provided suitable land for large enterprises such as Junshi Bio to build their own factories. Two standard factory parks have also been built and put into use. In 2025, the standard factory buildings for the biomedicine and medical device industries will exceed 1.5 million square metres. 


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