Tesla is going to produce electric cars in China.
Tesla is finalizing negotiations with the authorities of Shanghai the agreement on the construction of his plant.
This decision will reduce the cost of vehicles for the Chinese market by about 25%.
The agreement can be signed already this week — currently is finalizing the details. Reporters noted that, according to Chinese law, it will be a joint venture with a local partner.
The new deal will allow the company Elon musk to sell its electric vehicles in China without paying import duties at the rate of 25%. Interestingly, in 2016 the revenue of Tesla in China exceeded one billion dollars.
Note that now only the Tesla Assembly plant is in Fremont California, which in 2010 bought from Toyota for $42 million.
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