Tesla (TSLA) is retreating 6% in the wake of news that the sales of its China-made EVs had plunged sharply last month. Additionally, a publication reported that the automaker’s Full-Self Driving system is not performing well in China.
The Sales of TSLA’s China-Made EVs Tumbled in February
Last month, 30,688 of Tesla’s EVs made in China were sold, according to the China Passenger Car Association. That represented a huge 49% decline versus the same period a year earlier. Moreover, the passenger-vehicle sales of Tesla’s China-based rival, BYD (BYDDY,BYDDF), jumped 127% year-over-year in February. The discrepancy between the performance of the two automakers suggests that TSLA is losing a significant amount of market share in China.
Problems With Full Self-Driving in China
Tesla is currently introducing its Full-Self Driving software in China, but the system is reportedly having difficulty adjusting to the unique rules of the country’s roads. As a result, drivers who are using the software are racking up a significant number of traffic tickets, according to autoblog. The latter publication reported that it had seen video footage of the phenomenon.
The Recent Price Action of TSLA Stock
In the last month, the shares have tumbled 32% while they have sunk 24% in the last three months.
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Disclosure: The author owns shares of BYDDY but has no intention of selling them in the next 48 hours. This article is originally published at Insider Monkey.