Tesla stops taking orders from China, as Xi Jinping claims his country is «not afraid»

The trade war triggered by the Trump administration against China has reached a new level, with a direct speech by Xi Jinping on the subject and the entry of Tesla into play.

Trump Tariffs Live: China hits back at US by increasing tariffs to 125%. Follow our live coverage here reut.rs/3G33Ea6

— Reuters (@reuters.com) 2025-04-11T11:20:26.432Z

For the first time since the beginning of the tariff escalation between China and the United States, President Xi has spoken out, stating that China is “not afraid”, as Beijing raises its customs duties on American products to 125% in a new episode of the trade war.

China has stated that it does not want to exceed 125%, considering that further escalation would be unnecessary. It has also criticized Trump’s strategy, which is based exclusively on tariff pressure, seeing it as proof of an intimidation tactic used by a tyrant to force the hand of its trading partners.

“There are no winners in a trade war, and opposing the rest of the world only leads to isolation,” Xi said in his first public comments on the situation.

On the US side, the company Tesla, headed by billionaire Elon Musk, an ally of Trump, seems directly affected by the trade war.

In response, the company has stopped taking orders in China for two of its imported models, namely the Model X SUV and the Model S sedan.

According to Reuters, Tesla has even removed the “order now” buttons from its Chinese website, as well as the ordering features on its mini-program accessible via the Chinese WeChat app.

Although Elon Musk proudly claims that Tesla is the most “American-made” vehicle, the company remains heavily dependent on foreign suppliers, particularly Chinese ones, for essential components such as battery materials.

This dependence, combined with trade tensions and the controversies surrounding Musk, makes Tesla’s future uncertain, especially in the face of unpredictable decisions that Donald Trump may make.

This content was created with the help of AI.