BEIJING, May 9 (UPI) — Electric car maker Tesla has reached an agreement with a Chinese lender to provide up to Rmb4bn ($565.1m) in working capital loans to its Shanghai-based car plant, according to a regulatory document released Friday,media reported.
The loan will be provided by Industrial and Commercial Bank of China Inc. and will only be used for production-related expenses at Tesla’s Shanghai plant, the documents said.
The Shanghai-based Tesla auto plant is the company’s first auto motive production site outside the U.S. and is at the heart of Tesla’s global strategy to boost car sales.
Tesla has suspended production operations at its San Francisco Bay Area plant because of the pandemic, and local health authorities told Tesla on Friday that the plant “cannot be operational” because of the continued quarantine. (Ei)