Tesla’s (TSLA) electric vehicle sales in China rose nearly 40% in May as the consumer market in the Asian nation begins to recover from a prolonged slowdown.
Tesla said that it delivered 85,982 electric vehicle units from its Shanghai manufacturing plant, where it produces Model 3 and Model Y cars for China and other overseas markets.
Deliveries are an approximation for sales and rose 39.4% year-over-year from the same period in 2025.
In total, Tesla said that 1.36 million electric vehicles were delivered across China in May, which was 11% higher than April’s total.
The increase comes as China’s domestic consumer market begins to show signs of life after years of decline following the Covid-19 pandemic.
Other U.S. companies have also reported sales upticks in China in recent months, including Apple (AAPL) with its iPhone.
Tesla’s May sales growth also comes after the company suggested recently that it was moving ahead with plans for a rollout of its self-driving technology in China.
On May 21, Tesla announced that it is making its self-driving system available in China.
Before the announcement, only a limited number of Chinese users had access to the self-driving system in Tesla vehicles as the company waited for regulatory approval.
TSLA stock has declined 3% this year to trade at $423.74 U.S. per share.
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