Tesla’s Shanghai plant expansion is under threat because of Starlink data concerns

Due to Starlink data concerns, Tesla’s Shanghai plant expansion is in jeopardy.

According to one source acquainted with the situation, certain central government officials have expressed alarm about the company’s considerable presence in Asia.

According to reports, Tesla automobiles’ Starlink system will allow consumers to bypass China’s Great Firewall. In 2022, Tesla’s Shanghai plant is scheduled to produce over 710,000 vehicles, accounting for around 52% of the company’s global output.

Consumer demand in China has been impacted by the country’s slowing economic development and, until recently, adherence to Covid Zero.

Tesla has responded to months of lockdowns and supply bottlenecks by cutting prices and keeping incentives in place.