Wed. Dec 12th, 2018

Tesla says report stating sales in China crashed 70% in October is ‘wildly inaccurate’ (TSLA)

Tesla says report stating sales in China crashed 70% in October is ‘wildly inaccurate’ (TSLA)

  • Tesla sales in China crashed 70% in October amid the ongoing trade war.
  • Last week, the electric-car maker cut prices on some models in China to help offset the impact of President Donald Trump’s tariffs.
  • Tesla shares slid as much as 2.27% early Tuesday, trading near $338 apiece.
  • Watch Tesla Trade live.

Tesla slid as much as 2.27% early Tuesday, trading near $338 a share, after a report said the company’s vehicle sales in China slumped 70% in October amid the trade war between the US and China.

The electric-car maker sold just 211 vehicles in the world’s largest auto market in October, according to Reuters, citing an official from China Passenger Car Association. The source attributed Tesla’s underperforming sales to the ongoing US-China trade war.

“This is wildly inaccurate,” a Tesla spokesperson told Business Insider. “While we do not disclose regional or monthly sales numbers, these figures are off by a significant margin.”

On Thursday, Tesla said it was slashing prices on its Model X and Model S vehicles in China by 12% to 26% to help offset some of the impacts from President Donald Trump’s trade war. The automaker told Reuters it was “absorbing a significant part of the tariff to help make our cars more affordable for customers in China.” 

Earlier this year, the Trump administration imposed tariffs on $250 billion worth of Chinese goods, prompting Beijing to retaliate. In July, Beijing raised tariffs on imports of US autos to 40% amid a worsening trade standoff with the US.

Tesla in October secured a site in Shanghai, China, for its first overseas Gigafactory in order to help avoid the steep tariffs.

Tesla was up 8% this year through Monday.

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