Musk breaks ground in China for first Tesla factory outside US
09 January, 2019, 14:38 | Author: Brooke Harris
Tesla's Chinese factory broke ground on Monday afternoon (Jan 7) in Shanghai where it will begin making Model 3 electric vehicles (EV) by year-end.
"With the construction of the Shanghai factory, the faster the better [for Tesla]".
The $5 billion investment comes at a tenuous time in relations between the US and China.
According to a report in teslarati.com, by producing its lower-end Model 3 and Model Y in Shanghai, Tesla would be able to price the vehicles very competitively in the country - regardless of the presence of a trade war between the USA and China.
"The high-end versions of the Model 3 - the price will still remain the same next year", Musksaid Monday in an interview with Kanka News, an online news portal for government-run Shanghai Media Group.
He also said plans for the factory include finishing "initial construction this summer", starting "Model 3 production end of year", and reaching "high volume production next year".
China is the world's largest auto and NEV market, with Beijing aspiring to become the global NEV leader with technologies that meet the highest worldwide standards by 2025.
A local Chinese plant could be crucial for Tesla, which is facing a drop in demand in the US, its biggest market, after reductions in federal tax credits for electric vehicles.
Tesla was the first foreign auto maker to take advantage of a recent rule change allowing foreigners to own their China business, instead of having to work with Chinese partners as previously required.
"Affordable cars must be made on same continent as customers", Musk wrote in another Twitter post. It will help Tesla to mitigate the effects of the ongoing US-China trade war by eliminating the impact of rising export costs.
Model 3, for example, which starts at a price of Dollars 35,000 in the United States market, is sold between 500,000 yuan and 560,000 yuan (around USD 72,980 and USD 81,738) in China. The country's slowing economy and its trade war with the United States have severely impacted the auto industry.
Tesla has opened a tender process to build a $2 billion plant in Shanghai - dubbed a Gigafactory - and at least one contractor has started buying materials, Reuters reported earlier last month.
The electric automaker purchased the site past year for roughly $140,000 and intends on building the 860,000-square-meter site far quicker than is typical of automotive factories, Forbes reports.
Tesla cut prices for its Model 3 last month, the third time in the last two months for the firm to adjust prices in China.
The lawyers for Donald Trump's former campaign chairman were given a midnight deadline by the judge to file the documents. Manafort's lawyers argue in the filings he did not break his plea deal because he did not lie intentionally.
The homeowners and their children were asleep at the time, and didn't discover the video's presence until later. Sylvia Dungan , " doorbell licker victim", told Kion: "I thought, boy there's a lot of traffic".
It turns out he did, after it was reported Arians was interested in the opening in Tampa Bay after they fired their head coach. He has a reputation for developing quarterbacks like Peyton Manning, Ben Roethlisberger and Andrew Luck .
He hailed the regional party's decision to come out of the alliance and said it was for the sake of the people of Assam. In the panchayat elections held in the state in December, the BJP had emerged as the single largest party.
A woman found stuck partially inside a clothing donation bin was pronounced dead Tuesday, Toronto Police said. Police said her death is not suspicious and they are investigating the incident as a death by misadventure.
The first meme of 2019, apparently!" she told the outlet. "They've reaped a lot of rewards off this", Smallwood said. Pictures of the model went viral, with memes surfacing online and netizens using the hashtag #FijiWaterGirl .
Akram, one of the game's greatest fast bowlers, said that the team gelled well as a unit and were ably led by Virat Kohli . Not surprisingly, Zinta posted a congratulatory tweet after India's historic win, like many other celebs did.
Critics say the security risks are overblown and the administration is at least partly to blame for the humanitarian situation. Two days after Trump's speech, he plans to visit the southern border, the White House announced earlier in the week.
Salah wins African Footballer of the Year again
Unhappy with his two-goal return, Chelsea lent Salah to Italian outfits Fiorentina and Roma, then sold him to the latter club. It was a good day for Egyptian football all round, with Egypt being awarded the right to host the 2019 Africa Cup of Nations.
NASA’s probe discovers a new planet
The newly discovered planet orbits a bright and nearby star which is about 53 light years away in the constellation Reticulum. TESS, NASA's planet-hunting telescope, has found an exoplanet three times the size of Earth only 53 light-years away.
Top takeaways from CFP National Championship Game
With Clemson's win in this national title game, these two teams split the four meetings in the last four years of the Playoff. But Swinney is not buying the narrative that Alabama's dynasty is finished just yet.
Oil Rises 3 percent; Lifted by OPEC Cuts
West Texas Intermediate (WTI) crude oil futures also climbed 55 cents, to $49.07 per barrel. Record high crude oil production has pushed up United States inventories.
Saudi Teen Safe in Thailand, For Now
The UN is examining the asylum appeal of a young Saudi woman who fled her family and is afraid of getting killed if sent home. But she had only 24 followers and her first tweets went without being noticed until the BBC picked up the story.
Naomi Osaka crashes out to Lesia Tsurenko in Brisbane
Another Japanese star, though, played superb as Kei Nishikori as he demolished Jeremy Chardy 6-2, 6-2 in the men's semifinals. The unseeded Tsurenko took just over an hour to reach the biggest final of her career, beating the US Open champion 6-2 6-4.