The Chinese industry ministry has added the American EV maker to a list of government-approved vehicle manufacturers, Reuters has reported.
The list was published by China's Ministry of Industry and Information Technology.
A Reuters report says that as early as the company wishes, Tesla will start building its electric vehicles at what is called the Gigafactory in Shanghai, and the Palo Alto, CA-based automotive and energy company has disclosed it wants to start before the end of the year. Tesla already has 24 shops scattered across the vast Chinese territory.
Reports suggest that the vehicle manufacturer hopes to begin production at the factory this month.
Tesla has been given the green light to start manufacturing its cars in China.
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State Grid Corp of China has opened the first transmission line in a power connection project that increases electricity supply to the Tesla plant to a level required for preliminary production, according to a statement from the Chinese company's Shanghai branch.
Tesla did not respond immediately to an e-mailed request for comment. Tesla's gigafactory is the first entirely foreign owned auto factory in China.
Tesla plans to deliver at any rate 1,000 Model 3s per week from the Shanghai manufacturing plant before the current year's over, as it attempts to support deals on the planet's greatest auto advertise and maintain a strategic distance from higher import levies forced on USA autos. It is unclear when it will meet its annual production target due to uncertainty over procurement, supply and labor.
Shanghai authorities have offered Tesla assistance to speed up construction, and China excluded Tesla models from a 10% auto purchase tax on August 30.