• 3 hours Gold Miners Are Having A Stellar Second Half
  • 23 hours How 3D Printing Is Turning Each And Every Industry On Its Head
  • 1 day Is The $3.5 Trillion Healthcare Industry About To Get Much More Transparent?
  • 2 days Gamblers Are Betting Big On Trump’s Impeachment
  • 2 days Even Banks Can't Answer Aramco's Trillion Dollar Question
  • 3 days Will Bezos Buy The Seattle Seahawks?
  • 3 days 6 Tech Trends Transforming The Travel Industry
  • 4 days Ousted Uber CEO Cashes Out $500 Million In Stock
  • 4 days Trump Prepares For Another Key Tariff Decision
  • 4 days The Free Money Bubble Is About To Burst
  • 5 days The Crushing Reality Of Poverty In America
  • 5 days Should You Buy Into The World’s Largest IPO?
  • 5 days The Infinite Possibilities Of Cosmic Energy
  • 6 days Analysts Link Walking To Economic Growth
  • 7 days Will Japan Turn Its Back On The Aramco IPO?
  • 8 days Global Debt Soars To $188 Trillion
  • 8 days The World's Largest Gold Miners Are Getting Creative
  • 9 days Twitter: The Saudi Spy Tool To Bring Down Dissidents
  • 9 days Broad Commodity Funds Don’t Give Enough Exposure To Gold
  • 10 days Here We Go Again: Another Giant Telecoms Mega-Merger
Markets Flat As Bulls And Bears Battle It Out

Markets Flat As Bulls And Bears Battle It Out

The second week of October…

Is The Pot Stock Boom Over Already?

Is The Pot Stock Boom Over Already?

Pot stocks are getting crushed,…

Oilprice.com

Oilprice.com

Writer, OilPrice.com

Information/Articles and Prices on a wide range of commodities: We have assembled a team of experienced writers to provide you with information on Crude Oil,…

Contact Author

  1. Home
  2. Investing
  3. Stocks

The Mystery Behind Tesla's Chinese Sales Hiccup

Tesla

A week after a report that Tesla’s sales in China crumbled in October and the EV maker refuting it as ‘wildly inaccurate’, an auto industry expert said that the third-party data about Tesla’s plunging sales is accurate, as sales have suffered from frequent price changes in the latter half of this year.

Tesla’s sales in China plummeted by 70 percent in October in the latest demonstration of the adverse impact the U.S.-Chinese trade war is having on business, Reuters reported last week, citing data from the China Passenger Car Association. China is a key market for Tesla where it plans to build a gigafactory, and last month it only sold 211 cars there, according to the association’s data.

In an email to Barron’s, a Tesla spokesman disputed the report of the 70-percent sales plunge, saying that the numbers obtained from an official at the association are “wildly inaccurate” and “off by a significant margin.”

Later in the week, Freeman Shen, chief executive at China’s electric vehicle maker WM Motor, said reports that Tesla’s vehicle sales in China plunged by 70 percent last month is “misleading information” because of the opaque and not always accurate sales numbers coming out of China. Shen told CNBC that Chinese car sales numbers are always “kind of a mystery” because data is collected through several channels. Related: U.S. Treasury Sanctions Bitcoin Wallets For First Time

Now another China-based auto industry expert, Jacob George, vice president and general manager of J.D. Power China, the Chinese branch of U.S. marketing intelligence company J.D. Power, told Observer that “The declining trend is obvious, even if the absolute numbers are not exactly accurate.”

Tesla’s sales in China have suffered from the frequent price changes in response to the Chinese tariffs on U.S.-made cars, according to George.  

“Consumer sentiment on the brand probably hasn’t been affected, but consumer willingness-to-pay is affected by price,” George told Observer, commenting on the trend in Tesla’s sales in China. So far this week, Tesla’s stock has jumped on the news that the U.S. and China are putting the trade war on hold.

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Safehaven.com

Back to homepage

Leave a comment

Leave a comment