Elon Musk-established Tesla has stopped accepting new orders for its model S and Model X vehicles through its Chinese website, as reported by Reuters on Friday, amidst increasing trade tension between major economies of the world.
Customers can no longer order for these imported models through Tesla’s WeChat Mini Program account. Both vehicles are manufactured before exporting to China in the United States.
The firm did not give any clarification for this decision, which coincides with the implementation of China’s 84% tariff on China’s products, after implementing 145% of the duties on Trump’s Chinese imports.
The American motor vehicle manufacturer produces model 3 and model Y vehicles in its Shanghai feature, which serves both domestic Chinese market and European exports, formed a wholesale of its sale.
According to Lee Yanwei, an analyst at the China Auto Dealers Association, China imported 1,553 model X car and 311 model S cars in 2024.
It comes in the midst of a growing trade war between the US and China, which began with President Trump Hiking Tariff and Rapid vengeance with China.
China-US trade war
The US, this week,, citing improper trade practices, dramatically increased the tariff on sugar imports on sugar imports by 145%. China quickly retaliated with 84% tariff on American goods.
President Trump offer the 90-day dialogue window, withdraws tariffs on other countries, but placed the firm on China, announced “lining lining to talk to other countries”. In response, China accused the US of threatening and violating global trade criteria, to “fight to the end”.
China has stepped into its diplomatic efforts to form an alliance, especially in Europe and Southeast Asia. Premier Lee Kiang and Commerce Minister Wang Wanwa reached the European Union and ASEAN leaders, although the reactions have been mixed. Major nations like India, Australia and even Russia have not joined the favor of China.
The markets reacted rapidly – Trump’s partial return led to an increase in Asia and Europe, while the US markets were slightly submerged. Despite the economic shockwaves, the two nations are not ready to retreat, increasing the possibility of long -term disruption to global trade.
