Tesla said the company has been investing resources in localizing its China business chain. To that end, the company is also continuing to attract outstanding domestic talent in body design, vehicle engineering and development, and Autopilot automated assisted driving.

In the future, Tesla also hopes to launch a new product designed and developed by a local Chinese team and marketed globally, according to Beijing News.

PCauto previously cited channel sources as saying that Tesla will produce a third model at its Shanghai plant, which will be positioned below the Model 3 and may be priced at around 160,000 yuan.

The report said this new model from Tesla has been advanced as a separate project in September 2020 and is expected to complete product validation in March this year.

The new car is likely to be positioned as a compact two-seater sedan with a body chassis based on the Model 3, while the guidance price will be kept between RMB 150,000 - RMB 200,000, the report said.

However, Tesla soon said this is fake news.