Tesla Situation in China Doesn't Look Rosy - CleanTechnica

The article from CleanTechnica highlights a concerning decline in Tesla’s vehicle deliveries in China, the world’s largest electric vehicle (EV) market. Tesla delivered only 18,485 vehicles in January 2026, a steep drop of about 45% compared to 33,703 vehicles in January 2025. This decline is notable because it cannot be attributed to typical seasonal slowdowns, and there is little indication Tesla will recover in the current quarter. Customer wait times for Tesla vehicles in China have shortened significantly to one to three weeks, signaling excess inventory and weak demand. To stimulate sales, Tesla has extended aggressive financing incentives through March 31, including ultra-low interest rates and interest-free financing, despite regulatory restrictions in China against selling vehicles below production cost. The article suggests that Tesla’s struggles stem from a lack of new product offerings and innovation in a highly competitive and rapidly evolving Chinese EV market. Tesla has largely focused on advancing its Full Self Driving (FSD) technology, banking on its