Tesla Inc. ‘s Shanghai (NASDAQ: TSLA) plant is expected to produce 300,000 cars in the first few months of the year, Reuters reports, bringing up unidentified sources. What happened: According to the report, the plant experienced a flood of deliveries at the end of the July-September quarter despite global semiconductor shortages. Approximately 240,000 cars were shipped from the plant in the first 8 months. Reuters cited an official from the region as the plant is expected to produce 450,000 cars this year, adding 66,100 for export. The plant is a serial manufacturer of Model Y cars for deliveries in China and overseas markets, the rest of Asia, Europe and Australia. In August, Tesla blocked operations of a production line at its Giga Shanghai for 4 days due to a lack of chips. In July, Tesla CEO Elon Musk clarified that the company is betting on exports in the first part of the quarter and that it is betting on cars for domestic sales in the part of the year. Why it matters: Tesla has noticed setbacks in China this year and has noticed protests from users in China related to quality issues with its vehicles. Due to a software issue, the company was forced to recall almost all of its cars sold in China to solve the problem.