Tesla looking to reduce impact of tariffs on Model 3 sedan by building cars in Shanghai

Tesla Inc said on Friday it is looking to reduce the impact of tariffs on its Model 3 sedan by building more cars in Shanghai, China.

The company said in a filing that it is developing plans to start producing about 3,000 Model 3 vehicles per week in Shanghai in the initial phase of its Gigafactory 3.

The company said Model S and Model X sales in China have been, and will likely continue to be, hurt by recently increased tariffs imposed by the Chinese government on U.S.-manufactured vehicles. 

(With inputs from agencies.)