Tesla's new Shanghai Megafactory starts production

US electric vehicle maker Tesla's continued expansion in China has reflected multinational companies' confidence in the Chinese market, which can be attributed to the rapid development of the country's green economy and the government's efforts to further improve the business environment, said officials and industry experts.

Their comments came on Tuesday, when Tesla's new Mega factory in Shanghai's Lin-gang Special Area went into operation, with the factory's first Megapack battery system rolling off the production line.

The Megapack, an advanced battery system designed for large-scale energy projects, can store more than 3,900 kilowatt-hours of electricity in a single unit, enough capacity to power a Tesla Model 3 rear-wheel drive version for 39,000 kilometers.