Manufacturers have been unable to operate in China due to the Covid-19 lockdowns this year. This includes Shanghai, where Tesla owns a large factory.

Musk has warned of job cuts in recent weeks. Both the Austin and Berlin factories are huge money furnaces.

It sounds like a huge roaring sound, which can be described as money on fire," stated Mr Musk, chief executive of the electric vehicle manufacturer.

The plants are currently losing billions of dollars. He said there is a lot of expense but very little output. This was in an interview with Tesla Owners of Silicon Valley (a company-recognized club).

Musk stated that the gigafactories, which he called "gigafactories", have struggled to increase their production since opening earlier in the year.

Tesla's Austin site currently produces a "tiny number" of cars. This is partly due to some components for the batteries being "stuck at a Chinese port" and "no one to move them", he explained.

Musk said, "This will be fixed fast, but it takes a lot more attention." Although the interview was taped at the end of last month, this conversation portion was not posted until Wednesday.

In response to an increase in Covid-19-related infections, Chinese authorities have taken control of several cities.

The movement of people and goods was restricted in Shanghai, the financial, manufacturing, and shipping hubs.

Musk stated that the shutdown of Shanghai was "very difficult" for Tesla. The company reportedly stopped most of its production at its Giga factory for several weeks.

According to Reuters, the site will be shut down for approximately two weeks for upgrades, per an internal memo.

The plan is to increase the site's production, which will help it reach its goal of producing 22,000 cars per week.