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Tesla Stock Plummets after China Takes 1,600 Model 3s Hostage

Mark Emem
Tesla stock plunged on Tuesday after Chinese customs authorities took 1,600 Model 3 vehicles hostage. | Source: REUTERS/Aly Song

By CCN.com: Two months after Tesla CEO Elon Musk broke ground for a new factory in Shanghai, authorities in China suspended customs clearance procedures for the electric carmaker’s lowest-priced car, the Model 3.

China Holds Tesla Model 3s Hostage

According to Caixin Global, customs authorities in Shanghai are currently holding 1,600 Tesla Model 3 cars after finding various irregularities.

Some of the irregularities included improper labeling. Per the General Administration of Customs (GAC), there were missing labels as well as labeling inaccuracies, according to Caixin:

“Some of the vehicles had no Chinese labels on brake fluid tanks, while some demonstrated a real motor capacity that differed from the one on the label, according to the General Administration of Customs.”

Read the full story on CCN.com.