Recently, Tesla, the largest electric vehicle and solar panel company in the United States, was selected by the Jiangsu Provincial Government for procurement of vehicles. A staff member of the Jiangsu government stated that the government does not purchase imported goods, and Tesla is a domestically produced vehicle. This statement sparked discussions among netizens.
According to the latest announcement from the Jiangsu government procurement website, titled “Announcement of the Framework Agreement Procurement Shortlist for New Energy Vehicles for Party and Government Organs, Institutions, and Group Organizations in Jiangsu Province for 2024-2025,” the Tesla Model Y rear-wheel drive version has been included in the new energy vehicle procurement catalog for the Jiangsu Provincial Government with a price of 249,900 Chinese Yuan.
This is the first case in China where a Tesla has entered a government procurement catalog.
On July 4th, the contact person responsible for the project at the Jiangsu Provincial Government Procurement Center told Red Star News that there is currently no official document prohibiting Tesla from entering the government procurement catalog.
The contact person explained that as long as car manufacturers meet certain price and configuration requirements, they can be shortlisted. He also mentioned that the announcement only signifies being shortlisted, and actual procurement will depend on the users’ choices.
In the evening of the same day, the Jiangsu Provincial Government Procurement Center stated to Upguan News that this procurement was initiated by Tesla, and based on parameters and price, the procurement center recognized Tesla’s eligibility for inclusion.
An employee of the Jiangsu Provincial Government Procurement Center mentioned that the government does not purchase imported goods, as they require special approval. “But Tesla is not considered imported, it is domestically produced (cars).”
Regarding whether being on the procurement list guarantees procurement, the employee stated, “It depends on the intentions of various levels of government affairs management bureaus, user departments, and procurement departments.”
On July 5th, the topic “Jiangsu government personnel claim Tesla is a domestically produced vehicle” trended on social media platforms, leading to discussions among netizens:
“Has Musk changed nationalities?”
“If the origin is China, does it automatically qualify as domestically produced? According to your logic, iPhones should also be considered domestically produced, as well as LV, Adidas, Nike, right?”
“Is the government procuring Tesla within budget?”
“It is within budget. In earlier years, there were many Audis and Mercedes used for government vehicles, but now it’s reduced.”
“As long as the production is in the country and a certain percentage of domestic parts are used, calling it domestically produced vehicles should not be an issue.”
Public information shows that Tesla, formerly known as Tesla Motors, is the largest electric vehicle and solar panel company in the United States, headquartered in Texas. The company produces and sells electric vehicles, solar panels, and energy storage equipment and system solutions.
In January 2014, Tesla’s founder and CEO, Musk, first proposed building a car production plant in China, confirming its location in June 2017 in the Nanhui New City Industrial Zone in Shanghai. On July 10, 2018, Musk signed an agreement with the Shanghai municipal government, announcing the establishment of the Tesla China factory in Lingang.
On January 7, 2020, Musk announced the delivery of vehicles to the general public and initiated the Chinese manufacturing project for the Model Y.
According to Tesla’s second-quarter production and delivery report released on July 2nd this year, Tesla produced 410,800 vehicles in the second quarter ending on June 30, a 14% year-on-year decrease but a 14% increase quarter-on-quarter, with a total delivery of 422,400 Model 3 and Y vehicles.