Tesla has stopped new orders for its S and Model X vehicles in China as the communist country and the United States exchange blows into a growing commercial war. Unlike several other EVsla, Elon Musk’s company exports S and X models to China from the United States.
Reuters informs that, like the current tensions between the United States and China, Tesla has suspended new orders for its S and model X vehicles on its Chinese website. Both models are manufactured in the US. And they import to China, which makes them vulnerable to recent tariff increases imposed by both countries.
China raised its tariffs on US imports to 125 percent on Friday, after the decision of President Donald Trump to increase the tariffs of Chinese products to 145 percent. This escalation in the commercial war has made cars made in the United States more expensive for Chinese consumers compared to locally produced electric vehicles.
The impact of the suspension was obviously on the Chinese website of Tesla, where the new orders for the S model and the X model were no longer warned. Althegh Tesla did not provide an official reason for this decision, the moment strongly suggests a direct correlation with the intense commercial disputes.
The Tesla Shanghai plant, which produces model 3 cars and model and for the Chinese market and exports to regions such as Europe, represents most of its sales in the country. However, the S and X are the highest price and margin of the company’s highest price.
The CEO of Tesla, Elon Musk, has strongly criticized the use of reciprocal tariffs, including bitter personal attacks against Trump’s economic advisor, Peter Navarro.
Breitbart News reported:
Elon Musk has continued his public enmity with Trump’s economic advisor, Peter Navarro, for his role in the implementation of reciprocal tariffs, calling him a “jerk” and “delayed” that is “more silly than a sack of bricks.”
Musk, who directs the Efficiency Department of the Trump Administration Government (Doge), began to publicly criticize Navarro, the main counselor of President Donald Trump for trade and manufacturing, in a series of positions on Saturday X.
“A doctorate in Econom de Harvard is a bad thing, it is not good,” the technological tycoon written Or the title of Navarros. “Results in the ego/brain >> 1 problem”.
In another comment That has been eliminated since then, Musk argued that Navarro “is not built.”
The actions in Tesla, the Musk Electric Vehicle Company (EV) have lost more than 38 percent of its value so far this year, the Washington Post Reported.
The comments of the head of the multimillionaire Doge occurred after Trump announced tariffs that broke the status quo of the White House last week, saying: “They charge us, we charge them.”
According to Li Yanwei, an analyst at the Chinese Automobile Dealers Association, China imported 1,553 cars model X and 311 Model S cars in 2024. These two models represented less than 0.5 percent of Tesla’s total deliveries of more than it involves the significant impact on the general sales of the company in China.
Tesla also faces a growing competition of local manufacturers such as Byd and others in the Chinese market. The premium sedan and SUV models of the company, together with Cybertruck, have seen a 25 percent decrease in worldwide deliveries in the first quarter. This decrease is greatly attributed to the lack of improvements to these vehicles and the reaction against the political position of CEO Elon Musk.
Read more in Reuters here.
Lucas Nolan is a reporter of Knitbart News that cover issues of freedom of expression and online censorship.
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