Tesla reveals plans to build cars in Shanghai

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Tesla CEO Elon Musk has rebuffed a shareholder attempt to overhaul the electric auto maker's board and strip him of his role as chairman, despite worries about the company's shaky finances and inability to meet its production goals for its first mass-market sedan. Musk answered a question about producing a compact auto smaller than the Model 3 by saying that it's likely that Tesla would offer such a vehicle "in the next five years".

"This is the most excruciating hellish several months I've ever had. but I think we're getting there", Musk said during Tesla's annual meeting of stockholders in Mountain View, California. By then, Tesla's production lines should have worked all the kinks out and be able to ramp up more quickly to a new model. The stock was trading at $301.50 on Wednesday.

Musk talked about how Tesla was built from scratch, saying it was something no auto company had done in a very long time. "At a lot of other companies, they're built by marketing or the finance department and there's no soul".

Tesla is dishing out refunds for deposits on Model 3 sedans faster than deposits are coming in, a new report claims, but Tesla is refuting the report.

"We're confident we know how to address them and we are addressing them", Musk said about the issues. The shareholder votes also went according to plan, although Kallo thinks the wide margin of the board re-election is a vote of confidence in current management. Musk reiterated previous predictions that that will happen during the second half of this year.

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Last month, Musk set a timeline for the Model Y launch at "anytime from late this year to mid next year".

The meeting also determined whether or not Kimbal Musk - Elon's brother - would remain with the company's board, alongside investor Antonio Gracias and Twenty-First Century Fox executive James Murdoch.

Among other pronouncements by Musk, the company intends to make available a $35,000 version of its Model 3 by the end of this year. Tesla released the first teaser image of the Model Y at the company's 2017 Annual Shareholder Meeting in June previous year. When asked about a question about whether Tesla has any plans of making electric motorcycles, Musk categorically said that it's not going to happen.

He added that discussions with government officials in China have been "really great" and that more details about the Shanghai plant would be shared "soon".

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