Tesla is still hiring for hundreds of positions in China, mostly related to production, sales and after-sales service.

(Image credit: CnEVPost)

Tesla (NASDAQ: TSLA) continues to hire in China despite rumors late last month that it would be cutting jobs there as part of a global layoff plan.

Tesla is still hiring in China, with positions mostly related to production, sales and after-sales service, according to an analysis of Tesla's website as well as hiring platforms by local media outlet Yicai.

The job page on Tesla's China website shows that it has 742 positions available for those with work experience, with 37.33 percent of those positions directly related to production.

Tesla also offers 116 jobs for campus recruitment in China, 33 of which are related to smart manufacturing.

In addition, sales and service jobs are also the focus of Tesla's recruitment, providing 174 and 25 positions for those with work experience and campus recruitment respectively, both second only to smart manufacturing.

It is worth noting that on June 23, Sina Tech, citing multiple sources familiar with the matter, reported that Tesla China has opened a layoff plan of about 10 percent of its workforce, but this does not involve production-related positions.

This is part of Tesla's global layoff plan, said one of the people familiar with the matter.

As background, Tesla CEO Elon Musk said in an email to employees that he has a "super bad feeling" about the economy and needs to cut about 10 percent of salaried employees at the electric vehicle (EV) maker, according to a Reuters report on June 3.

The main reason Tesla is unlikely to scale back its hiring plans in China is that its production plans there will grow exponentially, Yicai said today, citing auto industry analyst Zhang Xiang, adding that Tesla's sales in China are also growing rapidly.

The EV maker's hiring in China won't stop and will take a dynamic approach to hiring, adjusting all the time, Yicai said, citing Oliver Wyman managing partner Zhang Junyi.

Tesla sold 78,906 China-made vehicles in June, surpassing last December's record high of 70,847, according to data released by the China Passenger Car Association (CPCA) on July 8.

Tesla China exported just 968 vehicles in June, according to the CPCA, meaning it delivered 77,938 units locally, or 98.77 percent of all sales in June.

Tesla is taking steps to boost production at its Shanghai plant, partially suspending manufacturing capacity for various periods until early August to upgrade the production line, Bloomberg reported late last month.

Upgrades at the plant are expected to be completed around August 7, when production of the Model Y SUV will increase to 14,000 units per week from about 11,000 before the Covid outbreak, and Model 3 sedan production will increase to 7,700 units per week from 5,500 previously, the report said, citing people familiar with the matter.

Tesla plans to double its original annual target to 1 million units, according to Bloomberg.