According to information gathered by Tencent Tech on October 9 from the Chongqing Foreign Trade & Economic Relations Commission’s website, Tesla recently established a wholly-owned company in Chongqing called Tuosule Auto Sales Company Chongqing. It looks like Tesla’s newest service center in China will be in Chongqing.

The name Tuosule is Tesla’s solution to a problem that started for them in 2009 when their registration of the name Tesla, Tesila in Chinese, was turned down because someone else had already registered the trademark in China.

The company has announced their intent to build Tesla brand vehicles, parts, and accessories in Chongqing’s New North Zone. It will be a service center providing all Tesla brand products. In addition, Tesla has already begun installing charging stations around Chongqing. There is currently one at Chongqing Tiandi, and another at Caifu Zhongxin. Around 200 more are planned for construction throughout the major urban districts.

In response to Tencent Tech’s questions, Tesla responded that they have plans to move in to Chongqing, hopefully in the near future, but an exact date has not been set. The spokesperson went on to say “With regard to charging stations we haven’t set any kind of limit. The more the better.”

Compared to more developed coastal cities like Beijing, Shanghai, and Guangzhou, both the number and value of cars in Western China is lower. Statistics show that as of 2014 there are 3,998,000 cars in Chongqing. The municipality has added 700,000 new cars since 2013, making it second in the country in terms of car ownership. The advantages of developing later are plain to see, and the municipality’s share of hybrid and fully electric vehicles is steadily increasing.

Tesla faces competition. Their slow rate of expansion in China means they face ever increasing challenges from domestic auto manufacturers like Shenzhen-based BYD Auto, and internationally recognized ones like BMW. Both are putting their efforts into rolling out hybrid and electric vehicles. Since the main problems Tesla faces are availability of charging stations and after-sales service, setting up service centers to provide maintenance and repairs is essential to their successful market expansion.

In April of this year, Veronica Wu, vice president of Tesla’s China operations, revealed to Tencent Tech that Tesla was preparing to construct service centers across the country. At that time Tesla had plans to construct after-sales service centers in the major cities of Beijing, Shanghai, Guangzhou, Shenzhen, Hangzhou, and Chengdu by the third quarter. Some of these service centers also double as dealerships. This is all part of a strategy to ensure that throughout the greater part of the country there is always a service center within a 200 kilometer radius.

Also worth mentioning is that when Elon Musk, founder of Tesla, visited China in April of this year, he expressed high hopes for more localized operations. He said the company would be making substantial investments in China to make local production of electric vehicles possible in China within three or four years.

This article was originally published at QQ.com. Translated by Tyler Olson.