Tesla opens $200m battery factory in China despite trade war tensions - Tesla opens first energy storage gigafactory outside the US

The opening of the $200 million Megapack battery plant in Shanghai highlights Elon Musk’s unusual position as Tesla CEO and Trump administration adviser.

SHANGHAI, Feb. 11 (Xinhua) -- U.S. carmaker Tesla's new Megafactory in Shanghai, dedicated to manufacturing energy-storage batteries known as Megapacks, launched production on Tuesday, marking a significant expansion of the company's presence in China.

Storyline Tesla's Megafactory in Shanghai begins production of Megapack batteries (Voice_over) Tesla's new Megafactory, which produces energy storage products, officially went into production. The Shanghai facility is Tesla's first Megafactory outside the United States and marks another major investment in China following the Gigafactory Shanghai car manufacturing plant.

Tesla's gigafactory for EV production in Lin-gang, which is also the first plant of its kind that the US EV maker has built overseas, was the largest foreign-invested manufacturing project in Shanghai with a total investment of 50 billion yuan.

Tesla's battery megafactory in Shanghai, for manufacturing its megapack batteries, has launched production on Tuesday, Chinese official news agency Xinhua said.