Tesla’s (NASDAQ: TSLA) car sales in China slumped in December, according to data from the China Passenger Car Association. The company’s car sales in China declined by 44% month-over-month to 55,796, and its production level fell 21% year-over-year. This was the lowest level of production in China for the EV giant since July.
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In contrast, the Warren Buffet-backed BYD delivered 234,598 electric cars in December. For 2022, Tesla delivered 50% more cars from its Shanghai gigafactory versus 2021.
Demand for TSLA’s vehicles in China was expected to soften as the EV giant suspended production at its Shanghai Gigafactory at the end of last year to upgrade its production line and balance supply and demand. According to a Reuters report, TSLA’s Shanghai factory is expected to run at a reduced output this month.
TSLA stock has been hammered in the past year as investors have been concerned about a reduction in demand for its EVs amid a tough macro environment, Musk being distracted by his acquisition of Twitter and a reduced ouput.
TSLA stock has crashed by more than 65% in the past year.
