Tesla included in Fujian's government procurement list

Tesla Inc has been included in a government procurement list of East China's Fujian province for the first time, following the inclusion of the American tech giant into the purchase list of East China's Jiangsu province.

Experts believe that this move reflects China's commitment to promoting the NEV industry through opening-up, provinces and regions nationwide will allow more foreign brands in their procurement process.

According to the website of Fujian's provincial government procurement online market, local government authorities, government-related institutions and organizations could buy a range of NEVs, including a Tesla's Model Y vehicle model, for the first time.

According to Tesla's official website, the official price for this model starts from 249,900 yuan ($35,000), with a range of 554 kilometers and a top speed of 217 km/h. The Model Y is currently Tesla's most popular SUV.

"Tesla's entry into the government procurement process shows a clear attitude of the Chinese government to encourage the development of intelligent connected vehicles, irrespective of whether the manufacturer is Chinese or foreign. As long as they comply with the requirements, they will be included in the government procurement process," said Sun Xiaohong, general secretary of the car unit of the China Chamber of Commerce for Import and Export of Machinery and Electronic Products, a national organization responsible for foreign trade of machinery products.

The chamber is representing China in the counter-appeal against the EU's decision to impose additional tariffs on Chinese EVs from Friday. In April, Tesla, along with five Chinese carmakers, cleared a key data security test in China conducted by the China Association of Automobile Manufacturers and a national computer network center.

"The entry into the government procurement process in one province is just the start. More provinces and regions will open up for foreign cars as long as they meet the specified requirements," Sun said.

Wang Peng, a researcher with the Beijing Academy of Social Sciences. Tesla and other foreign automakers, he said, are likely to land more government orders in the future.

"As China is currently spurring the NEV industry through opening-up, other provinces and regions will follow this trend and gradually allow foreign brands in their procurement process," said Wang.