Tesla delivered its first mass-market Model 3 from its Shanghai factory to Chinese customers on Tuesday, turning the screw tighter on foreign carmakers as they struggle to make the switch to electric in the world’s biggest auto market.
With the axing of generous subsidies for battery-powered cars and ambitious targets to increase them on the roads, Tesla’s move has intensified the dilemma for auto groups over whether to ramp up electric plans or hold off until the market improves.
China’s car market was on course for a second year of sales declines in 2019 after shrinking for the first time in three decades in 2018.
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