© Reuters. FILE PHOTO: A staff member looks at Tesla’s new Model 3 sedan displayed next to Model X SUV at the China International Fair for Trade in Services (CIFTIS) in Beijing, China September 2, 2023. REUTERS/Florence Lo/File Photo
By Hyunjoo Jin
San Francisco (Reuters) – Shares of Tesla (NASDAQ:) fell more than 7% on Monday after its sales slumped in February in China, where it faced rising competition and a slowdown during the Lunar New Year holidays.
Tesla sold 60,365 China-made vehicles in February, down 19% from a year earlier and the lowest since December 2022, according to data from China Passenger Car Association.
China’s Lunar New Year holidays fell in February, reducing car purchasing activities. Tesla is also battling rising competition from Chinese rivals such as BYD (SZ:).
Tesla, which in January cut prices on some models in China, last week unveiled new incentives including insurance subsidies to woo consumers in the world’s largest auto market.
