For the first time, Chinese government officials will be able to buy Tesla’s Model Y for official use.
Specifically, officials in eastern China’s Jiangsu province have included the Model Y on a government procurement list, as reported by state-run publication The Paper.
Tesla, the only foreign electric-car maker on the list, is a testament to the company’s efforts to curry favor with the Chinese government: Tesla operates a gigafactory in Shanghai and says all self-driving data from Chinese customers is stored and processed within China.
Amid rising tensions between China and the U.S., Tesla CEO Elon Musk has been prominent among U.S. executives in his efforts to reach the Chinese market (the world’s largest market for electric vehicles, after all). The company overcame another hurdle earlier this year by signing a deal with Chinese authorities to bring its latest self-driving features to China. It has also partnered with Baidu to gain access to high-resolution maps for Chinese companies.
The good news for Tesla comes as the company faces stiff competition, especially on price, from Chinese EV companies such as BYD. June deliveries from its Shanghai factory fell 24.2% from a year earlier, according to the China Passenger Car Association.
