Tesla is building a massive factory in Shanghai, the first wholly foreign-owned car plant in China. WSJ’s Trefor Moss explains why it’s doing so even as U.S.-China trade tensions heat up. Photo illustration: Crystal TaiSHANGHAI—Tesla Inc. faces criticisms from Chinese customers complaining that they ended up paying thousands of dollars more for their new cars because they bought before the company’s recently enacted price cuts. The backlash comes as the electric-vehicle maker is betting heavily on the country by building a factory in Shanghai. Tesla aims to start mass production of the Model 3 sedan next year, and ultimately wants to make 500,000 cars a year here to capitalize on China’s booming market for electric vehicles.

Source: Wall Street Journal March 06, 2019 16:16 UTC