Tesla to Deliver the First China-made Model 3s on Dec. 30
【Summary】Less than twelve months after construction began, electric automaker Tesla will deliver the first Model 3 sedans built at the company’s new Shanghai gigafactory.
Less than twelve months after construction began, electric automaker Tesla will deliver the first Model 3 sedans built at the company's new Shanghai gigafactory.
Tesla announced that the first Model 3's made in China will be delivered to customers on Monday, Dec 30. The first test pre-production Model 3's were built at the new factory in October, the first steps before Tesla begins to ramp up production.
The first 15 customers to get the cars on Dec 30 are Tesla employees, the company representative said to Reuters.
The Shanghai facility is Tesla's first assembly plant outside of the U.S. and the Model 3s are the first-ever electric vehicles built outside of the U.S. Currently, Tesla ships all of its vehicles from its factory in Fremont, California.
The California-based company is also the first foreign automaker to wholly own a factory in China, after the Chinese government relaxed rules restricting automakers from owning no more than 50% of any joint venture with a Chinese partner.
The Chinese government has also been supportive of the factory. Tesla received favorable loans from Chinese lenders to build its new plant, just outside of Shanghai. Last week, Tesla secured a $10 billion yuan ($1.4 billion) five-year loan facility for construction and other expenses.
Tesla's new Shanghai factory is helping the automaker enter China's auto market, which is the world's biggest. By building vehicles in China, Tesla will avoid steep import tariffs imposed on its U.S.-built vehicles, allowing the company to sell its vehicles at a lower price and remain more competitive from rivals.
The China-made cars are priced at 355,800 yuan ($50,000) before subsidies and Tesla has said it wants to start deliveries before Chinese new year beginning on Jan. 25.
The Ministry of Industry and Information Technology said previously it had added Tesla's China-made Model 3 to a list of new energy vehicles exempt from China's 10% purchase tax.
Tesla first signed a deal with Shanghai authorities in July 2018 to build the Shanghai gigafactory United States, saying it would cost around $2 billion to construct. The factory doubles the size of Tesla's global manufacturing.
Tesla is targeting a production rate of 250,000 vehicles a year, once the upcoming Model Y crossover is added to the production line.
Tesla began taking deposits of 8,000 yuan ($1,153) from Chinese customers in Nov 2018, as site preparations began just ahead of construction of the Shanghai factory.
Originally hailing from New Jersey, Eric is a automotive & technology reporter covering the high-tech industry here in Silicon Valley. He has over 15 years of automotive experience and a bachelors degree in computer science. These skills, combined with technical writing and news reporting, allows him to fully understand and identify new and innovative technologies in the auto industry and beyond. He has worked at Uber on self-driving cars and as a technical writer, helping people to understand and work with technology.
Electric Automaker XPeng and Bosch Join the ‘ELISA Project’ to Promote the Use of Linux in Safety-Critical Automotive Applications
China's Tech Giant Baidu Plans to Rollout the World’s Largest Fully Autonomous Ride-Hailing Service by Next Year
Vietnam-based Electric Vehicle Startup VinFast Ships its First Vehicles to the U.S.
Tesla’s Model 3 is Reportedly Getting a Redesign to Make it More Appealing as Competition in the EV Segment Grows
LG Chem is Investing $3.2 Billion to Build a Cathode Manufacturing Facility for Electric Vehicle Batteries in Tennessee
Mercedes-Benz is Offering a Performance Upgrade as a Yearly Subscription on its EQ Electric Vehicles
LG Develops ‘Invisible’ Speaker Sound Technology That Could Revolutionize In-Vehicle Audio
Waymo Reveals its New Robotaxi Built by New Premium Electric Vehicle Brand Zeekr
- BMW to Test a New Battery in the iX Electric SUV Developed By Michigan Startup Our Next Energy Inc. That Can Deliver 600 Miles of Range
- GM's Cruise Becomes First Company to Receive Permit to Charge for Autonomous Rides
- Here’s a Quick Look at the ‘Intelligent Pilot’ Driver Assist System for the Upcoming Fisker Ocean Electric SUV
- Ford to Use Lithium Iron Phosphate Batteries for the First Time as it Aims to Produce 600,000 EVs a Year in 2023, Sets Up Global Supply Chain
- The BMW 7-Series to Feature HD Live Maps From HERE Technologies for Hands-Free Highway Driving in North America at Speeds up to 80 MPH
- Chevrolet Bolt EV, Bolt EUV Get Dramatic Price Cuts
- Biden Administration Announces New Standards to Make EV Chargers More Accessible
- GM to Invest $81 Million to Hand-Build Cadillac Celestiq in Michigan
- GM’s New Blazer EV Will Take on the Tesla Model Y Performance and Ford Mustang Mach E
- GM's New 'Plug And Charge' Feature Will Simplify the Charging Process For its Current & Future EVs