A new scathing report about Tesla just came out in China. It describes how the automaker is becoming trigger-happy, suing its own customers and the media while auto journalists are being told not to be negative about the American automaker.
To this day, Tesla is the only foreign automaker with a wholly-owned car factory in China, although Toyota is expected to follow in a few years.
Elon Musk made the deal happen with Chinese Communist Party (CCP) officials back in 2018. Tesla Gigafactory Shanghai became the company’s biggest production hub and its biggest source of revenue and profit.
Tesla would never be where it is today without Gigafactory Shanghai and the Chinese market.
Now, we learn that Tesla is willing to go to great lengths to protect that.
The Associated Press (AP) has just released a fascinating in-depth report about Tesla’s activities in China regarding customers and the media.
The report centers around a new perspective on the highly publicized battle between Tesla and one of its Chinese customers who claimed a brake defect, but it also goes deeper by highlighting a shift in Tesla’s approach to criticism in China.
AP found that Tesla sued “at least six car owners in China who had sudden vehicle malfunctions, quality complaints or accidents they claimed were caused by mechanical failures.”
Tesla also sued “at least six bloggers and two Chinese media outlets that wrote critically about the company.”
This is highly unusual behavior for an automaker.
The report also highlights the close relationship between Tesla and CCP officials, especially Li Qiang, the former party boss of Shanghai who is now China’s premier. He was involved in the Gigafactory Shanghai deal.
It’s not news that Tesla benefited from preferential treatment in China, but the report goes quite a bit further.
AP alleges that local media are instructed not to be negative on Tesla:
Tesla has profited from the largesse of the Chinese state, winning unprecedented regulatory benefits, below-market rate loans and large tax breaks. With a few pointed exceptions, Tesla has enjoyed largely ingratiating coverage in the Chinese press, and journalists told AP they have been instructed to avoid negative coverage of the automaker.
A reporter told AP:
“We were told by our editor that we should not write negatively about Tesla because it is a key company that was introduced and protected by the Shanghai government.”
The report also explains how Tesla wins about 90% of the court cases filed against the automaker by customers who claim a defect.
Many customers complained of Tesla’s lack of communication, leading to filing lawsuits.
If they file lawsuits, they lose, and if they complain publicly, they are the ones getting sued by Tesla and forced to pay the company and make a public apology.
Electrek’s Take
That’s quite a report. It gave a new perspective on Ms. Zhang’s case. Her case made it to Western media in 2021-2022, but never with the level of detail in this report.
The facts are she got into an accident. She claimed it was due to a brake failure. Tesla claimed it was due to a driver mistake.
She felt compelled to protest Tesla over what she saw as a serious safety issue. She was quite persistent with it. Tesla sued her and won because she had no way to prove that a brake defect had caused the accident. She was forced to pay Tesla and make a public apology.
But we also learned that Tesla claimed that other entities were backing her despite no evidence of that whatsoever.
I think there’s room for reflection on Tesla’s part here. Is this what it wants to be: a company that sues its customers and media over criticism?
Like some customers said in the report, Tesla could have avoided much that by simply having better communications with customers.
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Tesla reportedly told a Cybertruck owner that it is currently not taking Cybertruck trade-ins after an owner tried to return his truck due to what he described as “anti-nazi harassment.”
But Tesla owners are also facing a similar situation.
We have recently seen examples of Tesla owners being targeted by similar efforts with people spray painting anti-fascism messages on the vehicles or simply throwing the middle finger at Tesla owners.
Cybertruck owners seem to be getting the brunt of it, probably because it is the most recognizable Tesla vehicle and the latest offered by the company. So, people assume that the owner bought it while knowing of Elon Musk’s latest antics.
Kumait Jaroje, a cosmetic physician based in central Massachusetts, is one of those Cybertruck owners stuck in this situation.
He reported to social media and to local news that he and his family are being harassed because of his gold-wrapped Cybertruck:
“Now, they’re not just waving at me, they’re not just giving me the middle finger. Somebody tried to cut me off while I’m driving with my kids and three guys came out of the car and just pointed the middle finger and started screaming at me.”
More recently, he says that someone placed an anti-nazi sticker on his truck:
After his wife said that she didn’t feel safe driving the truck, Jaroje tried to trade it in to Tesla, but he said that Tesla told him they are not accepting Cybertruck trade-ins:
He confirmed with the text message that Tesla is not accepting Cybertruck trade-ins at this moment.
We previously reported that Tesla is currently overwhelmed with Cybertruck inventory as the truck is having demand issues.
Electrek’s Take
Free speech, right? Not really. You can give the middle finger to all the Cybertruck owners if you want to. It’s a bit childish, but it’s your right. However, your rights end where others begin, and you have no right to put stickers on other people’s property.
Also, cutting people off in traffic is plain dangerous for all road users regardless of what you think of a stupid truck. Interestingly, I had the same thing happen to me when I reviewed the Cybertruck last year, but it was because people where trying to take pictures of the truck.
I understand the hate for Tesla right now. Elon Musk has complete control over the company despite owning only 13%, and he used his wealth from the company to elect Trump and get himself a very strange position within the government where he holds incredible amounts of power with little to no oversight. It’s a scary situation that looks like the beginning of a straight-up oligarchy in the US.
Some Tesla owners are OK with that, some disagree that this is happening, some ignore it, some hate it. You don’t know in which category every Tesla owner finds themselves, and changing a vehicle is a big deal for most people. You can’t expect everyone who disagrees with the situation to be able to change the car.
You can boycott Tesla, but harassing Tesla owners is not OK in my opinion.
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India’s Prime Minister Narendra Modi on Sept. 4, 2024.
Dean Kassim | Afp | Getty Images
Indian Prime Minister Narendra Modi is headed to Washington, D.C., for meetings with President Donald Trump and members of his administration, including Elon Musk, to discuss topics such as efforts to avoid a trade war and artificial intelligence policy, CNBC has confirmed.
In his meetings with President Trump on Thursday, Modi will address the country’s growing trade deficit and present a menu of trade concessions including some tied to agriculture and medical devices, according to sources familiar with the upcoming talks who asked not to be named because they weren’t authorized to speak on the matter.
Modi and his team will also signal India’s intent to buy more liquified natural gas from the U.S., a deal that will likely involve Cheniere Energy. India already buys one-fifth of its LNG from the U.S. and is one of the world’s biggest importers.
A senior official in Modi’s government told CNBC that India is ready to procure more U.S. defense equipment from Stryker, and to find other ways to partner with Washington on military drills in the Indian Ocean, where China remains a lingering threat.
While in Washington, Modi will spend time with Treasury Secretary Scott Bessent and Secretary of State Marco Rubio, as well as Howard Lutnick, Trump’s nominee to run the Commerce Department.
Modi will also have a one-on-one meeting with Musk, who is overseeing the so-called Department of Government Efficiency, with a focus on slashing federal programs and regulations. Modi’s discussion with the world’s richest person is expected to center on AI policy, Starlink’s expansion into India and Tesla’s ability to open up a plant in the country, the government official said.
A White House spokesperson did not respond to CNBC’s request for comment.
Read more CNBC tech news
On technology, Modi and his team will also reinforce their interest in buying high-performance graphics processing units, or GPUs, from the U.S. and in avoiding any forthcoming export controls from the Trump administration. In a recent trip to Mumbai, Nvidia CEO Jensen Huang expressed interest in partnering with India’s Reliance Industries to further the country’s AI efforts.
It will not be the first meeting between the Indian leader and Musk.
Just before Modi’s state visit to Washington in 2023, Musk met with Modi in New York to discuss slashing electric vehicle import duties in India and other ways Tesla’s expansion into India could become a reality.
Tesla has not publicly shared a plan to build a factory in India, and has instead continued to focus on China. But India has become a big growth market for U.S. tech.
Apple, Meta, Microsoft, Google and Amazon have pledged billions of dollars of investment in India’s growth and to capitalize on the country’s emerging middle class.
According to analysts’ estimates, Apple now manufactures 10% to 15% of its iPhones in India, and CEO Tim Cook has suggested that the company is looking to potentially move more production there. Apple also opened a few retail stores in India in 2023.
For Modi, the trip represents an opportunity for a much-needed boost to his company’s private sector. The MSCI India exchange-traded fund has fallen 5% this year and more than 15% since late September. Meanwhile, Chinese stocks have been rallying as emerging market investors bet on the country’s AI advancements, particularly following recent reports about the power and efficiency of DeepSeek’s model. The iShares MSCI China ETF is up 11% in 2025.
Jeep’s Wrangler-inspired electric SUV made a surprise appearance during the big game on Sunday. Jeep previewed the Recon EV during a Super Bowl ad, in which it took a shot at Ford. In the commercial, you can see Jeep’s new electric SUV looks ready to challenge the Ford Bronco.
Jeep Recon EV previewed during the Super Bowl
The Recon is the second Jeep electric SUV set to launch in the US. Jeep introduced it in 2022 as part of its plans to become “the leading electrified SUV brand” in North America and Europe.
Built from the ground up with its 4×4 off-road system, Jeep promises the Recon will be its first true off-road electric SUV.
Jeep says the Recon is “inspired by the legendary Wrangler” with optional features like removable doors and windows. Although it’s still built for extreme adventures, the Recon is nearly silent, making that open-air drive even more enjoyable.
Stellantis took the big game as an opportunity, recruiting Harrison Ford to take a shot at its cross-town rival. The Super Bowl ad featured several different Jeep Wrangler 4xe models while the new Recon EV made a surprise appearance.
Jeep Recon EV teased during the Super Bowl (Source: Jeep)
The Recon looked sleek while off-roading with Jeep’s iconic Punk’n Orange exterior color, a blacked-out roof, and doors removed.
Jeep will launch the Recon EV later this year. With its official debut just around the corner, several models have been spotted in public testing in recent months.
Jeep teases new Recon EV during the Super Bowl (Source: Jeep)
Most recently, the electric SUV was spotted in Michigan with barely any camouflage. The closer it gets to production, the more it looks like a Ford Bronco.
Based on the same STLA Large platform as Jeep’s first electric SUV, the Wagoneer S, the Recon is expected to have a driving range of over 300 miles.
Jeep has yet to reveal prices, but the Recon is expected to start at around $60,000, or slightly less than the Wagoneer S.
What do you think of Jeep’s new electric SUV, the Recon? Would you buy it for around $60,000? Drop us a comment below and let us know your thoughts.
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