Add to favourites
News Local and Global in your language
23rd of July 2018


Tesla Planning New Factory in Shanghai, China - Motor Trend

With capacity to build 500,000 cars per year Share this article in: Facebook Twitter Google Plus Email Free Price Quote From a Local Dealer View Special Offers Change Car GO 1. Vehicle Option


Exterior Color

Interior Color

Buying Time Frame

Payment Method

Trade In? Yes No

2. Contact Info

First Name

Last Name




Zip Code



3. Dealer Selection Receive your free dealer pricing information by completing your contact information!

Last year, we reported that Tesla was in negotiations to build a factory in Shanghai. Typically, automakers are required to partner with a Chinese company in order to build and sell cars in the country, but Tesla was said to be working on an agreement that would allow it to skip that step. Almost nine months later, the Shanghai factory is finally official.

Reuters reports that Tesla CEO Elon Musk has reached an agreement with the Chinese government to build the California-based automaker’s first factory outside the U.S. Once construction begins, it will reportedly take about two years before the first vehicle rolls off the assembly line. Two or three years after that, the factory could be producing as many as 500,000 vehicles per year.

This announcement comes only days after China responded to President Donald Trump’s recently implemented tariffs with tariffs of its own. Vehicles built in the U.S. were among the goods targeted by China’s new tariffs. As a result, Tesla was forced to raise the price of the cars it sells in China.

Loading... ? Watch World's Greatest Drag Race 7! Related Videos World's Greatest Drag Race 7! World's Greatest Drag Race 7! ( 08:00 ) 2017 Tesla Model S P100D vs. 2017 Audi RS7 Performance 2017 Tesla Model S P100D vs. 2017 Audi RS7 Perform... ( 22:01 ) EXCLUSIVE: Tesla Model S, 3 and X at Gigafactory 1 EXCLUSIVE: Tesla Model S, 3 and X at Gigafactory 1 ( 06:12 ) 2013 Tesla Model S - The Quickest Sedan Built in America 2013 Tesla Model S - The Quickest Sedan Built in A... ( 07:54 ) 2015 Dodge Charger SRT Hellcat vs. 2015 Tesla Model S P85D! 2015 Dodge Charger SRT Hellcat vs. 2015 Tesla Mode... ( 17:03 ) Watch more videos Your hub for horsepower Get first access to hit shows like Roadkill and Dirt Every Day Join free for 14 days now

“The Shanghai plant will certainly improve Tesla’s positioning in China and allow it to locally produce and avoid import tariffs. The relaxation of the 50/50 rule for JVs in China uniquely benefits Tesla because they did not have an existing JV in China,” Tasha Keeney, an analyst with ARK Invest, told Reuters.

In a statement, the Shanghai government said, “The Shanghai municipal government will fully support the construction of the Tesla factory.”

We’ve reached out to Tesla for a comment and will update this post if we receive a response.

Source: Reuters

Read More

Leave A Comment

More News

All Motor Trend Stories RSS


ABR - News

Automotive news - from

High Gear Media Network Feed

The Truth About Cars

Automotive News Breaking

autoevolution news

Disclaimer and is not the owner of these news or any information published on this site.