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Tesla goes big in China, strikes deal for plant with 500,000-car capacity

Reuters
Tesla goes big in China, strikes deal for plant with 500,000-car capacity

Tesla Inc Chief Executive Officer Elon Musk on Tuesday landed a deal with Chinese authorities to build a new auto plant in Shanghai, its first factory outside the United States, that would double the size of the electric car maker's global manufacturing. The deal was announced as Tesla raised prices on U.S.-made vehicles it sells in China to offset the cost of new tariffs imposed by the Chinese government in retaliation for U.S. President Donald Trump's move to slap heavier duties on Chinese goods. Musk was in Shanghai Tuesday, and the Shanghai government in a statement said it welcomed Tesla's move to invest not only in a new factory in the city, a center of the Chinese auto industry, but in research and development, as well.