China Passenger Car Association (CPCA) revealed that Tesla sold 11,095 units of electric vehicles in the month of May, which is about three times the sale it made in April ~ 3,635 units. This implies that the American company sold 10,160 additional EVs in May. This is the first gain for Tesla in China since June 2019.

Tesla had set up a new production factory in Shanghai, China before the breakout of the virus and around January it started delivering the EVs. Everything from finalising the venue for the factory to breaking ground to delivering first Teslas, all of the was achieved in record time. However, since Jan this year, even before the COVID 19 pandemic, sales have been fluctuating as a result of reduced demands.

This sudden increasing sales can be attributed to the end of lockdowns and opening up of the economy. In addition to this, the Chinese government considers electric cars a priority and has added fresh stimulus measures in the form of tax rebates to attract consumers back to the showroom and encourage more sales.