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Tesla to set up design facility in China

July 9, 2021 1:55 am

Tesla said on Thursday that it plans to set up a design studio in China to develop cars for local customers in one of the world's largest markets.

Details: In a statement released on Thursday, the US  electric car maker said "We look forward to soon seeing China-designed and China-made Tesla models sold in the world."

Without giving further details, Tesla said it will continue scaling up investment in China.

The statement was issued when Tesla announced to take orders for a new variant of the China-made Model Y SUV. The new addition has a driving range of 525 kilometers and can finish the zero to 100 km/hour sprint in 5.6 seconds.

The electric carmaker is manufacturing the Model Y and the Model 3 vehicles at its Shanghai gigafactory, its first vehicle manufacturing facility outside of the US. 

Context: Reuters reported in January that Tesla was searching for a design director in China, part of efforts to open a “full-function” studio in Shanghai or Beijing and design electric cars tailored to Chinese consumer tastes. 

“Bi-cultural” candidates with 20 or more years of experience who are familiar with Chinese tastes and can bridge the gaps between China and the US are preferred, said the report.

China is the world's largest auto market and the largest all-electric vehicle market, with sales expected to reach approximately 1.5 million vehicles this year, according to data from consulting company LMC Automotive.