Tesla cars have been included on a Chinese local government’s list of electric vehicles that can be bought by public, party and government groups for the first time. Elon Musk’s EV group is the only foreign-owned car manufacturer on the list published by the eastern province of Jiangsu. The company was among the 10 auto brands on the approved procurement list alongside Geely-owned Volvo Cars, SAIC-owned MG and state-owned Changan.
“China is hugely important for Tesla and has been for a long time, so this is just another positive,” said Philippe Houchois, an analyst with the bank. The announcement to include Tesla’s Model Y SUV comes in spite of heightening trade tensions between China and the west. “ product quality has been acknowledged by the local government,” Tesla China said in a statement.