Tesla has delivered its first cars made in China, marking a major milestone for the electric vehicle maker.
Fifteen Model 3 sedans were handed over at the company’s so called “Gigafactory” near Shanghai.
Tesla’s move into the country comes as the trade war has forced other American companies to shift production out of China.
California-based Tesla said that it wanted to start handing over vehicles before the Lunar New Year beginning on 25 January, and now plans to scale up deliveries from the start of 2020.
The Chinese-made Model 3, priced at $50,000 (£38,000) before subsidies, will compete with local electric car makers, including NIO and Xpeng Motors, as well as global brands such as BMW and Mercedes-Benz.