Tesla Inc (TSLA. O) is exploring the possibility of establishing a Chinese manufacturing plant with the Shanghai municipal government, the U. S. electric carmaker said on Thursday in a statement.
Tesla has said it wants to build electric cars in China to avoid a 25-percent tariff on imported vehicles.
In the statement, it said, « While we expect most of our production to remain in the U. S., we need to establish local factories to ensure affordability for the markets they serve. »
Tesla said it expects to « more clearly define » its China production plans by year end.
(Reporting by Norihiko Shirouzu in Beijing and Paul Lienert in Detroit; Editing by Chizu Nomiyama and Marguerita Choy)
