Tesla Stops Taking Orders For US-Made Model S, X In China: Report

Tesla Inc. TSLA has reportedly stopped taking new orders of its U.S.-made Model S and Model X on its official Chinese website.

What happened: Amid the U.S.-China trade war, Elon Musk's EV giant hasn't given an exact reason for the company's decision to remove the models from the website, according to a Reuters report.

China imported 1,553 Model X cars and 311 Model S cars in 2024, according to a Chinese analyst mentioned in the report. Since the models are imported into China, the cars would cost significantly more to the consumers in China amid the CCP's decision to impose 125% tariffs on U.S. imports as retaliation for the Trump administration's 145% tariff on Chinese goods.

Tesla did not immediately respond to Benzinga’s request for comment.

Why it matters: Tesla's decision to remove the models from its Chinese website comes in when Musk's company is experiencing a decline in sales in the U.S. Despite the sales going down, the company still dominates the domestic EV sector.

Tesla properties and superchargers have also been a target of vandalism, largely due to the billionaire's support of right-wing political ideals. However, the company recently released a cheaper trim level of the Cybertruck, possibly to appeal to a wider audience.

Amid uncertainty for the auto industry at large, things may be moving in the right direction for Tesla as the company looks to cement its position as the segment leader in the U.S.

Tesla recently revealed the Unsupervised FSD capabilities of its cars, which have logged in over 50,000 driverless miles between its two manufacturing units in California and Texas. Tesla has also teased the arrival of the driverless ride-hailing service Cybercab in Austin, Texas. However, that has been met with some doubt by experts.

Price action: TSLA is currently trading for $252.35 on the NASDAQ, according to Benzinga Pro data.

Check out more of Benzinga’s Future Of Mobility coverage by following this link.

Read Next:

• Palantir, MP Materials, Applied Digital, Rocket Lab, Tesla: Why These 5 Stocks Are On Investors’ Radars Today

Tesla Image Via Shutterstock