Tesla has began first deliveries of the Shanghai-made Model Y crossover, according to state-run Xinhua News Agency, marking another milestone for the electric car maker. China, the world’s largest vehicle and EV market, is undoubtedly important to Tesla’s growth plans. However, it is unclear how many units of Model Y vehicles were delivered, and Tesla did not immediately respond for comment.
The world’s second largest economy is the driving force behind Tesla’s delivery volume in 2020 – 499,550 units – an 36% increase as compared to 2019, but fell slightly short of the targeted 500,000 units.
According to Tesla, the company aims to increase their sales volume from around half a million in 2020 to 20 million annually over the next 10 years.
In late 2019, Tesla opened its first plant outside the US costing USD2 billion, and started production of the Tesla Model 3 sedan at its Gigafactory in Shanghai. Automakers establish local vehicle production to lower shipping costs and avoid import duties or delays, especially in China.
Elon Musk, CEO of Tesla, has become the world’s richest man thanks to the massive 700% increase in the company’s shares.