UPDATE: Tesla Model 3 Imports To China Encounter A Customs Concern

Tesla Model 3 (Source: China AutoReview)

MAR 5 2019 BY STEVEN LOVEDAY 26

According to recent reports, China has halted Tesla Model 3 in terms of customs clearance.

A new article from Reuters sites Beijing-based global media company — Caixin — in its report that Model 3 deliveries in China are now at a standstill. According to the press report, China has suspended customs clearance for the all-electric Model 3 for “various irregularities, including improper labeling of the vehicles.”

***UPDATE: Seems this potential roadblock is already being cleared. See tweet below:

We hope this “various irregularities” pertaining to the China-bound Model 3 doesn’t have anything to do with actual issues with the car. Fortunately, it seems like more of a “paperwork” issue.

China is well-known to be a solid market for EVs. So, it’s imperative that Tesla makes huge waves in the country. While we’ve read and published plenty of reports surrounding the automaker’s success in Europe, and especially in regards to recent Model 3 deliveries, we haven’t heard much from China. Wedbush Securities analyst Daniel Ives told Reuters:

Selling into China has clear hurdles and this is a reminder of the pitfalls when betting on growth in the region.

The hope is this issue can be smoothed out quickly otherwise it becomes more of a black eye for Tesla and agita for investors.

While the Silicon Valley automaker works to build its Shanghai “Gigafactory 3,” Tesla must import all product, which puts it at a severe disadvantage when compared to numerous and growing EV outfits within the country’s walls. Moreover, local automakers benefit from incentives, which are not yet available to Tesla.

Caixin reportedly made Tesla aware that it must temporarily refrain from selling its Model 3 in the country. The automaker was also told it cannot “use” any Model 3 sedans, even if they’ve already cleared customs, which is very unclear. In addition, Chinese customs agents were informed that they must increase diligence when inspecting these Tesla vehicles.

Based on research by Reuters, 1,171 Model 3 sedans have made their way to China. Of those, some 84 have been officially imported thus far.

Source: Reuters

Categories: Tesla

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26 Comments on "UPDATE: Tesla Model 3 Imports To China Encounter A Customs Concern"

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(⌐■_■) Trollnonymous

Let me guess, someone there trademarked “Model 3” for them self so Tesla can’t use that name?

Don’t forget to tell Business Insider.

They are quick to post negative news, nothing else.

Cool. I wouldn’t think there would be too much problems as Tesla has imported the S/X for yrs now.
A mistake in the article is the GF3 isn’t technically in China but a free trade zone so even there unless they make an exception, import duties will apply.
I’m betting they let the duties slide once GF3 is in production.

Sounds pretty minor, and we’ll likely never know what it was now that it is fixed.

They overlooked one of the agencies that needed bribing, I mean that needed a fee be paid?

When I was in China, the red tape magically lifts when money changes hands.

It seems entirely possible, perhaps even likely, that it’s the case here. Chinese culture is… different. Corruption by petty officials is seen as an everyday accepted occurrence.

Unlike the US, where corruption at the highest levels is cheered on by 40% of the electorate.

Tell me about

That’s everywhere. People in power are corruptible

Seems odd since over 7,500 TM3’s were sold in China for the month of January.
https://ev-sales.blogspot.com/2019/02/global-top-20-january-2019.html?m=1

That’s global, not China only.

Thanks my mistake.

From some of the other tweets I read on Twitter it was related to incorrect labels which did not match the components (motor) configuration of the car. Very minor, but mole hills become mountains in the world of FUD.

Gross incompetence. No way 7500 model 3 in China, more like 7.5

Your right I was definitely wrong. Overly optimistic.

Could be worse. Back in 2014, a few Model S’s with the wrong VINs were rejected at customs and shipped back from China to the U.S. to have the paperwork corrected.

https://www.businessinsider.com/teslas-china-2014-7

The negative financial media already has this story spinning at about 5000 RPM.

Those hoping to see Tesla collapse are increasingly grasping at straws, now that Tesla has shown itself to be solidly profitable.

Another Euro point of view

This was a sarcastic comment right ?

Didn’t e-Musk recently tweet that Tesla would not make profit in Q1 2019? … unless It was Tusk

that gigafactory probably has irregularies too

A central government can change the rules whenever they want.

You don’t mean like the tariffs on steel and aluminum imposed on Canada and Mexico by Trumpistan for « national security » reasons.

“Trumpistan” I like the sound of that.