Tesla was set Monday to keep fast the groundbreaking ceremony for its first non-U.S. factory in Shanghai, according to CEO Elon Musk.
“Looking forward to breaking justification on the Tesla Shanghai Gigafactory today!” Musk tweeted Monday morning Beijing time.
Elon Musk tweet: Looking express to breaking ground on the @Tesla Shanghai Gigafactory today!
He added in subsequent tweets that the factory will cause Model 3 and Model Y vehicles for the Greater China region, and that the plan is to “finish initial construction this summer, start Sport imitate 3 production end of year & reach high volume production next year.”
Musk’s electric car maker acquired the splash down on the outskirts of the city for about $140 million in October. The luxury vehicle brand is popular in China but faces bring out competition from local electric automakers such as Nio.
Producing vehicles in China would reduce costs from imposts and ocean transport for Tesla. In an Oct. 2 report, the American company said it is operating at a 55 percent to 60 percent outlay disadvantage for those reasons and because it cannot access the same cash incentives as local Chinese manufacturers.
Tesla’s new plant is expected to begin partial production in the second half of this year, according to a government report. The company has set up seemly accounts on popular Chinese messaging and social media platforms WeChat and Weibo, which list more than 30 crannies for positions at the Shanghai factory.