Tesla CEO Elon Musk on Friday denied a Reuters report that the electric car maker was considering exporting its cars made in China to the United States.
In characteristic curt fashion, Musk answered “False” in response to a Reuters story: “Tesla is considering exporting China-made electric cars to the US.”
The company did not immediately respond to FOX Business̵[ads1]7; request for comment on the story.
According to the report, Tesla has studied whether parts made by its China-based suppliers comply with local regulations in North America. If so, the company will reportedly decide whether to send Chinese-made Model Y and Model 3 cars for sale there as soon as next year
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If that were to happen, it could potentially create a channel for exports to Canada, anonymous sources close to Reuters said.
Tesla’s Shanghai Gigafactory has the capacity to produce 1.1 million electric vehicles per year, making it the company’s most productive manufacturing hub.
The Shanghai plant, which produces Model 3 sedans and Model Y crossovers, currently sells these vehicles in China and exports them to markets in Europe, Australia and Southeast Asia.
Until now, Tesla’s cars sold in North America have been built at factories in Fremont, California and Austin, Texas.
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The California factory, Tesla’s first, produces Model S, Model 3 sedans and Model X and Model Y crossovers. The factory in Texas, which opened earlier this year, makes the Model Y and will produce Tesla’s upcoming Cybertruck.
Reuters contributed to this report.