Tesla increased car sales in China by 30% in May compared with the same period last year. This shows that local consumer interest in car purchases is recovering after a slowdown.
Tesla’s sales in China rose significantly last month, compared with the previous month and the same period last year. Tesla sold 72,573 vehicles worldwide in May, according to data released Tuesday by the China Passenger Car Association (CPCA). Of these, 17,358 units were exported, and 55,215 were sold in the domestic market.
Data shows Tesla China’s exports in May fell 50.67 percent from a year earlier and 43.54 percent from April this year. At the same time, it is noteworthy that sales of Tesla vehicles in China increased by 75.73 percent compared to 31,421 vehicles in April. Most notably, sales were up 29.89 percent from 42,508 sales in May 2023.
This increase in domestic supplies comes as the company has dedicated more capacity at its Shanghai factory specifically for the China market. Previously, Tesla focused on domestic deliveries only in the second half of each quarter, but now its strategy may be adjusted slightly. As production at the company’s German factory, Giga Berlin, continues to increase, the European market has less demand for vehicles made by Tesla in China. The growth in demand and sales in China is a good indicator of the recovery of the country’s automobile market.
Tesla’s Chinese factory, Giga Shanghai, produces the Model 3 sedan and Model Y compact SUV. It is the company’s export hub and produces cars for various countries around the world. However, as productivity increases at Tesla’s other factories, Giga Shanghai may eventually focus more on delivering to its domestic market and surrounding countries.
