Tesla stops taking orders for Model X and Model S in China

Elon Musk has halted orders from China for two of Tesla's models, a decision driven by the ongoing trade war between the United States and the Asian giant, with both countries imposing reciprocal tariffs on each other's imports.

Specifically, the two vehicles affected by the order block are the Model S sedan and the Model X sports car, both manufactured in Fremont, California.

Musk's announcement, according to Bloomberg reports,does not impact other Tesla models, such as the Model 3 and Model Y. Tesla operates a plant in Shanghai, where these two vehicles are produced for sale in China and other Asian countries.

Tesla's sales in China surged 8.8% in 2024 compared to the previous fiscal year, exceeding 657,000 vehicles sold. However, in the first quarter of 2025, sales have declined, with local manufacturers like BYD surpassing Tesla.

The halt on Model S and Model X orders in China comes at a time of heightened trade tension between the two countries.

This Thursday, the Trump administration decided to raise its tariffs on Chinese imports to 145%. Hours later, Xi Jinping's communist regime relatiated by increasing its levies on U.S. products to 125%.