BEIJING (Reuters) – Tesla Inc plans to start manufacturing electric vehicle (EV) chargers in China in 2021, according to a paper filed to Shanghai authorities by the US company that is looking to expand sales in the world’s largest auto market .
Tesla, which now sells its Model 3 electric cars in China and plans to deliver its Model Y sport utility vehicles in 2021, plans to invest 42 million yuan ($ 6.4 million) in a new factory to make the chargers. also known as charging piles, near its auto factory in Shanghai, says the document seen by Reuters.
China, which offers large subsidies for electric vehicles as it seeks to reduce pollution from gasoline or diesel car, it has expanded its national network of charging points, one of the biggest challenges to encourage the adoption of electric vehicles.
The factory, which Tesla plans to complete in February, will have the capacity to produce 10,000 chargers per year, according to the paper filed by Tesla.
Now import chargers, usually installed in charging stations or parking lots, from the United States.
Tesla, which sold over 13,000 vehicles in China last month, did not immediately respond to a request for comment.
The Shanghai auto factory, central to Tesla’s global growth strategy, aims to produce 150,000 Model 3 sedans this year and has begun exporting some vehicles to Europe.
Tesla executives said this year that the company will expand its charging network to provide better service.
($ 1 = 6.5732 Chinese renminbi)
Reportage by Yilei Sun and Brenda Goh; Editing by Edmund Blair