Tesla to set up first production plant in China

Tesla to set up first production plant in China

Tesla Corporate Logo Photograph: (Reuters)

Reuters Bengaluru 20 June 2017 Jun 20, 2017, 01.50 PM (IST)

According to a Bloomberg report, Tesla has entered into an agreement with the city of Shanghai to produce electric cars in China.

It will build its facilities in Lingang development zone and come as soon as this week.  This will be Tesla's first attempt at producing electric cars in China. 

The electric carmaker's revenue from China tripled to more than $1 billion last year. It will need to set up a joint venture with at least one local partner under existing rules.
Tesla was not immediately available for comment.

In March, Tencent Holdings, China's biggest internet company, bought a 5 per cent stake in Tesla for $1.8 billion.

STORY HIGHLIGHTS

  • Tesla is in an agreement with the city of Shanghai to produce electric cars in China.
  • It will build its facilities in Lingang development zone.
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