News
Due To Import Taxes, Tesla Has Canceled Two Models In China.
Tesla has stopped accepting new orders in China for the Model S and Model X after the United States and China significantly raised import duties on each other’s products.
Tesla does not make either car in China itself but imports it from the US. The electric car manufacturer offered the option to order these two models at the end of March. Although that option no longer exists as of Friday, the existing stock of the cars is still available. According to the Bloomberg news agency, a white Model S is still offered in China for the equivalent of around €90,000.
Tesla’s Shanghai factory makes only Model 3 and Model Y cars, most of which are sold in China or exported to other parts of Asia. However, volumes from that factory have been falling for six straight months. Tesla faces stiff competition in China, particularly from BYD. Elon Musk’s company makes the Model S and Model X in Fremont, California.
Tesla isn’t the only automaker changing its presence in China. Polestar has begun to scale back its store network in the Asian country. On Thursday, Polestar also said it had pulled out of a partnership with China’s Hubei Xingji Meizu Group. The company said the move was a result of a shift in market focus and strategy.
“It’s quite normal that we have different approaches in different markets, and the Chinese market is, of course, competitive,” Polestar CEO Michael Lohscheller said, adding that Polestar is still committed to China and sees long-term opportunities there as a brand.




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