Tesla Model 3 Production Set For China: Automaker Gets Go-Ahead From Chinese Officials

Tesla (TSLA) has reportedly been given the go-ahead to begin production at its Gigafactory 3 in China for the production of its Model 3.

While rumors circulated that the company would start producing the EV on Monday, Reuters has reported that Tesla was given approval by the Chinese government to begin production at the plant on Thursday.

“This means “the green light is fully given to Tesla for production in China,” Yale Zhang, head of the Shanghai-based consultancy Automotive Foresight told the news outlet. “Tesla can start production any time, he said”

Over the last few weeks, the company has been ramping up production in Shanghai with a production date slated for Q4 2019. It seems Tesla is holding to true to the date as it moves forward with the factory as previously scheduled.

Tesla’s Gigafactory 3 will become the first wholly-owned electric vehicle factory from a foreign automaker in the country, Electrek reported.

Tesla is reportedly planning to produce at least 1,000 Model 3 vehicles a week at the factory by the end of 2019. The move by the automaker is designed to meet the demand for electric vehicles in the country as well as avoid import tariffs on U.S. cars, Reuters said.

Shares of Tesla stock were up 0.94 percent as of 12:47 p.m. ET on Thursday.