Recently, Elon Musk said that they would not manufacture higher-end Tesla vehicles in China. However, his words were broken after the company suddenly decides to export Model 3 made-in-China cars.
Tesla was reportedly planning to China-made Model 3 electric vehicles to Europe and other markets, despite its CEO saying that it would not do such a thing. Although Tesla builds a Gigafactory in Shanghai, the company reassured its customers that it wasn't just going to shift production capacity to China.
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Musk was also firm in his decision only to supply the country's demand and not export China-made vehicles to other markets. In 2019, he even posted a tweet, saying that higher-end Model Y and Model 3 cars for the Chinese market would still be made in the U.S., and the factory in China would only manufacture "affordable versions" of the electric vehicles for local demand.
Shanghai Giga will produce affordable versions of 3/Y for greater China. All Model S/X & higher cost versions of Model 3/Y will still be built in US for WW market, incl China. — Elon Musk (@elonmusk) January 7, 2019
"Shanghai Giga production of Model 3/Y will serve greater China region," he captioned.
"Shanghai Giga will produce affordable versions of 3/Y for greater China. All Model S/X & higher cost versions of Model 3/Y will still be built in the U.S. for W.W. market, incl China," added the CEO.
The company's plans were critical since the factory was announced during the peak of the "trade war" between China and the United States.
Why Tesla suddenly changed its decision
Since the beginning of the COVID-19 pandemic and its factory's closure in California, Tesla's plans were already changed. The company began manufacturing Model 3's higher-end version in China and hasn't stopped after reopening its factory in Fremont.
chrome delete at my @tesla Model 3 ️️ pic.twitter.com/vILnptFVg0 — David Thosty (@DavidThosty) September 10, 2020
Its decision would be a significant change in its strategy compared to the plans previously disclosed. Model 3 is not the only Tesla car that would be manufactured in China. Musk also confirmed that a brand new electric vehicle would be designed, engineered, and manufactured.
The upcoming model could also be distributed to different markets across the globe.
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Written by: Giuliano de Leon.
