5 ms·

They did not require that for Tesla. The Shanghai is 100% American Tesla owned with no joint venture.

• refulgentis 6y ago
  Yes, the way the CCP does enforcement there is the Hong Kong model: there's an entity 100% owned by Tesla called Tesla Shanghai that has a 50 year lease on a state owned factory, Tesla invests $700 mil, state invests $2 bill, when loans are paid off, Tesla can begin transferring revenue stateside
  • SEJeff 6y ago
    That’s not a terrible model
  • blueblisters 6y ago
    Wait so the gigafactory plant and machinery is technically owned by the Chinese? Or is it just the factory land?
    • derivagral 6y ago
      From this and prior reading I'd expect: they (TSLA) own the factory and things in it, but the land it sits on is leased from the state, perhaps in some proportion to the funds invested. I don't live there, just been a couple times. https://www.loc.gov/law/help/real-property-law/china.php https://www.loc.gov/law/help/real-property-law/china.php
  • mlindner 6y ago
    Do you have a source for that? That is different than everything I've heard about the plant.