Sales of China-made Teslas rise 36 percent in April

Published: 2026-05-07 15:01:09 ET TSLA

Published on 05/07/2026 at 03:01 pm EDT

Key takeaways

Sales of Teslas produced in China rose by 36 per cent in April compared with the same month last year, meaning the American carmaker has now posted growth for six consecutive months. Despite growing competition from cheaper Chinese rivals, Tesla delivered 79,478 Model 3 and Model Y vehicles last month that were built at its Shanghai factory. Those figures also include exports to Europe and other international markets. Although deliveries were slightly lower than in March, they were significantly higher than in April 2022.

Recovery of sales figures in Europe

The strong performance in April suggests that Tesla is regaining stability in its two largest markets outside the United States, after a period of declining market share. Regulatory hurdles around the Full Self-Driving software and the rise of new Chinese electric vehicles could, however, potentially hamper any further recovery.

The recovery in Tesla’s sales figures extended in April to several European markets, including Sweden, France and Denmark. This growth was fuelled by increased demand for battery-powered vehicles amid rising oil prices caused by geopolitical tensions between the US and Iran.

Regulatory obstacles

Despite the positive momentum, Tesla continues to grapple with regulatory challenges. The approval process for the long-awaited Full Self-Driving (FSD) system, a feature particularly coveted by customers in China, remains uncertain. Although Tesla initially aimed for FSD approval in the first quarter of this year, Chief Financial Officer Vaibhav Taneja announced a revised target for the third quarter during a financial presentation in April. Emails obtained by Reuters indicate that European regulators are sceptical about the technology.

Tesla’s recovery comes after a significant decline in its market share in Europe in 2025, during which the company lost almost half of its previous position. In response to the competitive landscape, Tesla is actively working to defend its market presence by developing a more affordable compact SUV specifically for the Chinese market, as Reuters reported last month. (fc)

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