Tesla said Thursday it was considering the possibility of manufacturing in China as it ramps up for expansion of its line of electric-powered cars.
Tesla said Thursday it was considering the possibility of manufacturing in China as it ramps up for expansion of its line of electric-powered cars.
The California company founded by entrepreneur Elon Musk said in an email it was in talks with the Shanghai Municipal Government « to explore the possibility of establishing a manufacturing facility in the region to serve the Chinese market. »
The statement said Tesla would make a decision on production in China by the end of the year.
« Tesla is deeply committed to the Chinese market, and we continue to evaluate potential manufacturing sites around the globe to serve the local markets, » the statement said.
« While we expect most of our production to remain in the US, we do need to establish local factories to ensure affordability for the markets they serve. »
Shares in Tesla have surged over the past few years on expectations that the manufacturer will lead a new wave of electric vehicles.
Tesla’s market capitalization has topped $60 billion, ahead of both General Motors and Ford, which produce far more vehicles.
Last year Tesla sold 84,000 cars, generating $7 billion in revenue. Most of its vehicles have a hefty price tag of over $70,000.
The company is on track to begin production in July of the Model 3, which is aimed at the middle market, making the electric car accessible to a broader swath of consumers.
Last year, Musk announced Tesla plans to build a new pickup truck, an urban bus, and launch a sharing system of self-driving cars.
The projects are part of what the billionaire entrepreneur called a « secret » second master plan for the US electric car manufacturer.
