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Tesla zeroes in on Beijing for design centre to build Chinese-style cars for the mainland market

  • The design and engineering hub will be one of the key projects in Beijing this year, according to a report by the city government
  • Tesla said in January 2020 that it would establish a design centre in China to better serve customers

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Tesla is the runaway leader in China’s premium electric car segment. Photo: Bloomberg
Tesla plans to set up a design centre in Beijing to develop cars specifically for the Chinese market, stepping up plans to consolidate its foothold in the world’s largest automotive market.
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The US carmaker’s design and engineering hub will be one of the key projects in China’s capital this year, according to a report by the Beijing municipal government.

Construction of the centre will start this year, but other details such as investment and inauguration date were not provided.

“Tesla has every reason to increase investment in China amid strong sales of its vehicles in the country,” said David Zhang, a researcher for the automotive industry at the North China University of Technology. “Building Chinese-style cars for Chinese people is a good idea and it obviously is stepping up a gear to implement its China strategy.”

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In January 2020, Tesla said that it would establish a design centre in China to better serve customers in one of its biggest markets. The announcement came just a month after the Elon Musk-helmed carmaker launched operations at the Gigafactory 3 in Shanghai, Tesla’s first plant outside the US.

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