Could Chinese-built Model 3s and Model Ys end up on North American shores?
Elon Musk may have just begun to run Twitter, but that doesn’t mean Tesla isn’t still making business moves. Two Tesla employees told Reuters, that it’s considering exporting vehicles from its Shanghai plant, to be sold in the U.S. Automotive news cites slower-than-expected Chinese demand for Tesla and lower manufacturing costs at the Shanghai plan that could make the move a potentially smart ploy by the American EV brand.
The report says that Tesla is studying if the Chinese-made cars and parts would be compliant with North American regulations. If so, the Shanghai plant could start churning out Model 3s and Model Ys as soon as next year. These Shanghai-made vehicles would go to the US, and possibly Canada as well.
If true, that means the Shanghai plant must be produced very cost-effectively; tariffs on Chinese-made vehicles are high. Currently, the Polestar 2 and Buick Envision are the only two Chinese-made vehicles in the United States. Both Buick and Polestar have been open about tariffs hurting the profitability of those models, and it’s expected they’ll eventually be made someplace more tariff-friendly, or canceled, in the near future.
Interestingly, CEO Elon Musk took directly to Twitter to refute the claim. Whether or not that’s actually the case, remains to be seen, it seems like the Twitter-owning CEO has his hands full at the moment. If Chinese-made Teslas show up on our roads, we probably won’t actually know until the moment it happens.
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