Tesla has produced over 3 million cars to date, with 1 million of them made in its Shanghai factory.
CEO Elon Musk said "production is a much bigger challenge than demand" for the EV maker.
Tesla has been in "supply chain hell" for the past few years, Musk said in July.
Tesla has produced over three million cars so far, with one-third of them coming from the company's Gigafactory in Shanghai, CEO Elon Musk tweeted on Sunday.
Musk was congratulating Tesla Shanghai on making its one-millionth car, which came amid months of lockdowns and COVID-19 restrictions in China. Tesla's Shanghai Gigafactory opened in 2019.
While producing over 3 million cars is a milestone for Tesla, the electric-vehicle maker still lags far behind output from legacy car companies. Toyota, the world's largest car maker, delivered over 10 million cars, while Volkswagen, the world's second-biggest auto maker, delivered almost 9 million cars - and that's just in 2021 alone.
However, Tesla does have strong demand going for it: Musk said Sunday on Twitter that "production is a much bigger challenge than demand" for the company.
On Tesla's second-quarter earnings call in July, Musk said the company has been in "supply chain hell" for the past few years but could have a "record-breaking" second half of 2022.
In July, Tesla announced that it delivered more than 250,000 cars in the second quarter of the year. That's 18% lower on-quarter due to supply chain issues and a shortage of parts, but the delivery number represented a 27% increase from a year ago. Tesla produces cars in California, Texas, and Berlin.
Tesla's share price closed 4.7% higher at $900.09 on Friday. The stock is down 25% this year so far.