Tesla Negotiates $565M Loan In China Amid Factory Shutdowns, Shrinking Sales
Tesla Negotiates $565M Loan In China Amid Factory Shutdowns, Shrinking Sales. Tesla Inc (NASDAQ: TSLA) is yet again relying on debt to keep its operations going in China, with the electric vehicle manufacturer negotiating a loan facility, according to an 8-K filing with the SEC. Tesla has entered into a working capital loan contract with the Chinese commercial lender Industrial and Commercial Bank of China Ltd for an unsecured revolving facility of up to 4 billion yuan ($563,928,320). The negotiation of the loan facility comes at a time when Tesla manufacturing is shut down in both the China and the U.S. Last week, the EV maker said that it has halted production in its Shanghai Gigafactory according to plan, although reports suggested it could be due to shortage of components.