1:02Tesla in China: September retail sales fall 9%, but Shanghai exports jump 58%
Giga Shanghai shipped 95,366 cars in September, up 5%, as exports made up for weaker domestic demand. It is the fourth straight month of falling retail sales in China.
Tesla's Shanghai factory sold 95,366 cars in September, up 5% from a year earlier, according to data from the China Passenger Car Association (CPCA). Underneath that headline, two very different trends are at work.
The split
- Retail sales in China: 64,837, down 9% from 71,525 in September 2025.
- Exports from Shanghai: 30,529, up 58% from 19,287.
The domestic decline came despite discounts of up to about $1,040 on the Model 3 and Model Y.
A four-month trend
Retail sales in China have now fallen for four months in a row. In August, Tesla sold 57,152 cars domestically, down 12.4%, while exports more than doubled to 36,119.
The year so far
In the first three quarters of 2026, Tesla sold 381,088 cars inside China and exported 361,972 from Shanghai. Globally, Tesla has delivered about 1.32 million cars since January.
A tough market overall
Tesla is not alone. China's overall retail car sales fell around 20% in September, and BYD's domestic sales dropped 13%, while its exports rose more than 150%. Chinese carmakers are increasingly looking abroad as competition at home intensifies.
Why it matters
Shanghai is Tesla's biggest factory and the main source of cars for Europe and Asia-Pacific. Strong exports helped Tesla beat delivery expectations in the third quarter. But relying on exports to fill the factory leaves Tesla exposed to trade barriers and price competition in those markets.
