Tesla's "Gigafactory" in Shanghai has secured loans of up to 3.5 billion yuan ($520 million) from Chinese banks, according to the company's filing to the Securities and Exchange Commission (SEC) in the USA on Thursday.
Tesla's China borrowing follows its biggest ever debt payment recently.
Tesla has said that the Gigafactory will cost around $2 billion.
The latest financing maneuvers between the Fremont, California-based Tesla and Chinese banks comes as the ongoing trade war between the United States and China continues.
According to a filing by Tesla, as much as $520M in loans have been committed by Chinese banks.
On Tuesday, the 5th of March 2019, Tesla Inc. had said that the Chinese customs authorities had accepted the electric vehicle maker's plan of resolving the problem for clearance of few of Model 3 Sedan that came with misprinted labels.
An average 18 percent decline in retail sales was reported for sedans, sport utility vehicles, multi-purpose vehicles, and minivans in February, according to the data from the China Passenger Car Association.
China is by far the world's biggest vehicle market and sales there have been on an upwards trajectory for years, although they slipped 2.8 per cent in 2018.
In the broader slowdown, battery-powered autos had been an exception.
The government is also encouraging partnerships between companies working on vehicle research and development and manufacturers with existing plants, aiming to use capacity at already built factories rather than constructing new ones, in a move that combats industry glut.
Keeping prices in check will also help Tesla fend off competition from a swathe of domestic electric vehicle startups such as Nio Inc, Byton and XPeng Motors.
"He has ignored federal court orders, a settlement with the SEC (Securities and Exchange Commission), and even his company's own corporate policies expressedly requiring that any of his tweets regarding Tesla be pre-screened".