As the geo-economic tensions rise between the two big powers, Tesla, the American – electric automobile giant has stopped taking orders for Model S and Model X vehicles in China on Friday.
Tesla removed these two cars from its Chinese website that were previously available for order in China primarily because both these models were largely manufactured in the United States and imported to China.
Tesla not taking orders in China
Tesla model S and model X have also been removed on the automaker’s WeChat mini programme account in China.
Tesla is not taking orders in China for its both models and is not commenting on it, the development comes forth in the background of escalating tariff war initiated by US President Donald Trump.
Trump earlier this week imposed massive tariffs on China and other countries, while China also retaliated with strong retaliatory tariffs.
Both countries continue to impose tariffs on each other in a tit for tat move as companies across both countries scramble to adjust to new realities.
Higher US tariffs means significant rise in imported Tesla cars for Chinese consumers, while locally produced electric cars are available like BYD.
Interestingly, Tesla manufactures its Model 3 and Model Y cars in China for sale in the Chinese market and export to other regional markets.
However, Tesla will be least affected by stopping the orders for its two models in China as it only accounts for 0.5% of Tesla’s deliveries of more than 657,000 vehicles last year.
Another primary reason for Tesla’s meagre sales in China is the rise of Chinese EV giants such as BYD which is outcompeting Tesla across the region.
Furthermore, Tesla in the past year has taken a significant toll in its sales due to its CEO, Elon Musk’s, close proximity to Donald Trump and his right-wing political views.
Read more: Did Apple fly 5 planes full of iPhones to escape Trump tariffs?
In an interested development, Apple Inc. reportedly flew approximately 1.5 million iPhones to the United States from India and China in order to hastily avoid global tariffs imposed by US President Donald Trump. According to details, the tech giant, Apple, chartered cargo flights which were loaded with iPhones reportedly weighing 600 tons.
The company took the surprising move in order to stock up its inventory as Apple heavily relies on Chinese and Indian manufacturing for its products. The United States is one of the biggest markets for the popular iPhones, and analysts have suggested that the Trump’s tariffs will lead to surge in iPhone prices across the US.
According to media reports, App undertook the emergency move in the last week of March 2025 which took at least 3 days. US President Donald Trump had earlier this month announced imposition of retaliatory tariffs on more than 180 countries, including strong restrictions on China.