Tesla will build the upcoming Model 3 in China for local Chinese customers, so the American car company can cut costs and skirt the country’s enormous taxes on imported cars.
Teslas for the rest of the world will continue to be built in California, but the company says it will be working with a local Chinese manufacturer, which has not yet been named, to build the compact electric sedan for buyers in the country. It is being reported that this move will cut the cost of a Model 3 for Chinese consumers by 30 percent and will make it easier to buy and register.
China is experiencing a massive push for electric cars and hybrids as a result of overwhelming pollution. Tesla is hoping to start Model 3 production in China in 2017. So far this year, about 3,000 Model S sedans have been sold in China.
The Tesla Model 3 has been confirmed to have a 250-mile range, and China is in the process of bolstering its charging infrastructure for electric cars. Pricing is said to be about $35,000 and the car is said to debut in March 2016.
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