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Tesla Revealed to Be Shipping Shanghai-Made Cars to Canada

iconMay 25, 2023 14:56
According to foreign media reports, Tesla is shipping another batch of electric cars produced at its Shanghai super factory from China to North America. A second ship full of electric cars produced at Tesla's Shanghai plant is reportedly on its way to Canada.


According to foreign media reports, Tesla is shipping another batch of electric cars produced at its Shanghai super factory from China to North America. A second ship full of electric cars produced at Tesla's Shanghai plant is reportedly on its way to Canada.
The move further solidifies Tesla's strategy of shipping Shanghai-built vehicles to the North American market and signals that Tesla may ship more Shanghai-built vehicles to Canada in the future.
In late April this year, Reuters reported that Tesla's Shanghai-built electric cars would be entering the Canadian market. Musk responded on Twitter that the reports of Tesla shipping Chinese-made cars to the US were "false".
However, the Reuters report from April was proven true as a shipment of Tesla Model 3 and Model Y arrived at a port in Washington state on May 1. Logistics records show that the vehicles came from a port in Shanghai.
Now Morten Lund, a Twitter user who tracks logistical data on Tesla ships, has confirmed that a second ship full of Tesla's Shanghai-built electric cars has left Shanghai and is on its way to Canada.
Tesla's shipment of Chinese-made cars to Canada has sparked much speculation, but the move is likely to have a lot to do with the electric car tax credit provisions of the Inflation Reduction Act in the US.
Tesla may sell electric cars made in the US to US customers to take advantage of the US electric vehicle tax credit, making the vehicles cheaper. This also means that Tesla tends to ship Chinese-made vehicles to Canada to meet Canadian demand, thus ensuring that US-made vehicles are prioritised for local customers.
Canada offers a $5,000 ($) incentive for electric vehicles through the iZEV program, but there is no restriction on where the vehicles are manufactured. As a result, Canadian consumers can receive this incentive for purchasing an electric vehicle of any origin.
 

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