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(Op-Ed) Tesla China has been very successful legally–but is something nefarious really afoot?

Credit: Tesla Asia/X

Published

9 months ago

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A recent report from the Associated Press has highlighted the fact that Tesla China has been very successful legally. Over the years, Tesla China has seen a remarkable record in winning legal cases against critics, from media outlets and social media influencers to customers. 

But while the report carried a tone that hinted that something nefarious was afoot, Tesla China’s legal successes may simply be explained by a simple reason—it chooses to hold people accountable.

The AP’s piece:

  • A look at the Associated Press‘ piece on Tesla China’s aggressive legal strategy opens with the story of Zhang Yazhou, who held a protest at the 2021 Shanghai Auto Show alleging that her Model 3 experienced a brake failure. 
  • Here’s how the report framed the matter:
    • “Tesla has embraced an aggressive legal strategy in China to stifle its critics — suing its own customers. 
    • “That’s left some Tesla owners desperate. Zhang Yazhou protested publicly that her Model 3’s brakes had failed and caused an accident in 2021 that sent her parents to the hospital. Tesla said that wasn’t true and sued her for defamation. A Chinese court ordered Zhang to pay the $1.1-trillion company more than $23,000 in damages and publicly apologize for her criticism.
    • “”I refuse to accept it,” said Zhang, who appealed the verdict. “As a consumer, even if I said something wrong, I have the right to comment and criticize. I spoke about my feelings as a user of the car. It has nothing to do with damaging their reputation.””
  • The AP report also described Tesla China’s legal victories as follows:
    • “Over the last four years, Tesla has sued at least six car owners in China who had sudden vehicle malfunctions, quality complaints or accidents they claimed were caused by mechanical failures.
    • “The company has also sued at least six bloggers and two Chinese media outlets that wrote critically about the company, according to a review of public court documents and Chinese media reports by The Associated Press.
    • “Tesla won all eleven cases for which AP could determine the verdicts. Two judgments are on appeal. One case was settled out of court.
    • “Tesla has not only won the defamation cases it brought against unhappy car owners and critical journalists, it has also prevailed in lawsuits customers have filed against it.”

Context matters:

  • While it is quite popular these days in several corners of the internet to frame Elon Musk and Tesla as evil entities that must be eliminated, it is important to look at the context behind Tesla China’s legal successes.
  • Tesla China’s success in the country’s court system may not be due to a nefarious reasons at all. Instead, it could simply be due to one particular thing that the company is very good at—in-vehicle data.
  • Take the case of Ms. Zhang, for example. When she alleged that her Model 3 experienced brake failure, Tesla China simply supplied the data from her vehicle to prove that the car’s brakes, in fact, did not malfunction. 
  • The same thing was true for social media influencers who allegedly showed Tesla’s vehicles experiencing brake failure.
  • Back in 2021, during the height of the brake controversy in China, a Tesla owner decided to demonstrate how his Model X’s brakes were allegedly failing. The owner later admitted that the video was for entertainment purposes only.
  • A famous blogger who alleged that Tesla’s automatic emergency braking system was subpar also posted a public apology to Tesla China after the company’s legal department pursued him. 
  • In that particular case, Tesla China was hardly throwing its weight around, since netizens in the country were already calling out the blogger for pressing on the vehicle’s accelerator during his automatic emergency braking test.
  • Overall, Tesla China’s long string of legal victories seems to be due to the company’s willingness to hold critics accountable when needed, as well as the objective data that is provided by its vehicles.

The whipping boys of media:

  • Elon Musk has a high tolerance for pain, and Tesla does too, at times to the detriment of the company’s shareholders.
  • This has caused media outlets, social media influencers, and general netizens to casually throw out wild accusations against the CEO and the electric vehicle maker.
  • This has been especially notable recently amidst Elon Musk’s work with DOGE. 
  • But while this is the status quo in the United States, Tesla China’s management team requires a more assertive legal strategy—one that would allow the company to thrive in the world’s most competitive and challenging electric vehicle market.

Don’t hesitate to contact us with news tips. Just send a message to simon@teslarati.com to give us a heads up.

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Tesla rolls out most aggressive Model Y lease deal in the US yet

With the promotion in place, customers would be able to take home a Model Y at a very low cost.

Published

21 hours ago

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November 15, 2025

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(Credit: Tesla)

Tesla has rolled out what could very well be its most aggressive promotion for Model Y leases in the United States yet. With the promotion in place, customers would be able to take home a Model Y at a very low cost.

Zero downpayment leases

The new Model Y lease promotion was initially reported on X, with industry watcher Sawyer Merritt stating that while the vehicles’ monthly payments are still similar to before, the cars can now be ordered with a $0 downpayment. 

Tesla community members noted that this promotion would cut the full payment cost of Model Y leases by several thousand dollars, though prices were still a bit better when the $7,500 federal tax credit was still in effect. Despite this, a $0 downpayment would likely be appreciated by customers, as it lowers the entry point to the Tesla ecosystem by a notable margin.

Premium freebies included

Apart from a $0 downpayment, customers of Model Y leases are also provided one free upgrade for their vehicles. These upgrades could be premium paint, such as Pearl White Multi-Coat, Deep Blue Metallic, Diamond Black, Quicksilver or Ultra Red, or 20″ Helix 2.0 Wheels. Customers could also opt for a White Interior or a Tow Hitch free of charge.

A look at Tesla’s Model Y order page shows that the promotion is available for all the Model Y Premium Rear-Wheel Drive and the Model Y Premium All-Wheel Drive. The Model Y Standard and the Model Y Performance are not eligible for the $0 downpayment or free premium upgrade promotion as of writing. 

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Tesla is looking to phase out China-made parts at US factories: report

Tesla has reportedly swapped out several China-made components already, aiming to complete the transition within the next two years.

Published

22 hours ago

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November 15, 2025

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(Source: Tesla)

Tesla has reportedly started directing its suppliers to eliminate China-made components from vehicles built in the United States. This would make Tesla’s US-produced vehicles even more American-made.

The update was initially reported by The Wall Street Journal.

Accelerating North American sourcing

As per the WSJ report, the shift reportedly came amidst escalating tariff uncertainties between Washington and Beijing. Citing people reportedly familiar with the matter, the publication claimed that Tesla has already swapped out several China-made components, aiming to complete the transition within the next two years. The publication also claimed that Tesla has been reducing its reliance on China-based suppliers since the pandemic disrupted supply chains.

The company has quietly increased North American sourcing over the past two years as tariff concerns have intensified. If accurate, Tesla would likely end up with vehicles that are even more locally sourced than they are today. It would remain to be seen, however, if a change in suppliers for its US-made vehicles would result in price adjustments for cars like the Model 3 and Model Y.

Industry-wide reassessments

Tesla is not alone in reevaluating its dependence on China. Auto executives across the automotive industry have been in rapid-response mode amid shifting trade policies, chip supply anxiety, and concerns over rare-earth materials. Fluctuating tariffs between the United States and China during President Donald Trump’s current term have made pricing strategies quite unpredictable as well, as noted in a Reuters report. 

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General Motors this week issued a similar directive to thousands of suppliers, instructing them to remove China-origin components from their supply chains. The same is true for Stellantis, which also announced earlier this year that it was implementing several strategies to avoid tariffs that were placed by the Trump administration. 

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Tesla owners propose interesting theory about Apple CarPlay and EV tax credit

“100%. It’s needed for sales because for many prospective buyers, CarPlay is a nonnegotiable must-have. If they knew how good the Tesla UI is, they wouldn’t think they need CarPlay,” one owner said.

Published

2 days ago

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November 14, 2025

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Credit: Tesla Raj/YouTube

Tesla is reportedly bracing for the integration of Apple’s well-known iOS automotive platform, CarPlay, into its vehicles after the company had avoided it for years.

However, now that it’s here, owners are more than clear that they do not want it, and they have their theories about why it’s on its way. Some believe it might have to do with the EV tax credit, or rather, the loss of it.

Owners are more interested in why Tesla is doing this now, especially considering that so many have been outspoken about the fact that they would not use it in favor of the company’s user interface (UI), which is extremely well done.

After Bloomberg reported that Tesla was working on Apple CarPlay integration, the reactions immediately started pouring in. From my perspective, having used both Apple CarPlay in two previous vehicles and going to Tesla’s in-house UI in my Model Y, both platforms definitely have their advantages.

However, Tesla’s UI just works with its vehicles, as it is intuitive and well-engineered for its cars specifically. Apple CarPlay was always good, but it was buggy at times, which could be attributed to the vehicle and not the software, and not as user-friendly, but that is subjective.

Nevertheless, upon the release of Bloomberg’s report, people immediately challenged the need for it:

Some fans proposed an interesting point: What if Tesla is using CarPlay as a counter to losing the $7,500 EV tax credit? Perhaps it is an interesting way to attract customers who have not owned a Tesla before but are more interested in having a vehicle equipped with CarPlay?

“100%. It’s needed for sales because for many prospective buyers, CarPlay is a nonnegotiable must-have. If they knew how good the Tesla UI is, they wouldn’t think they need CarPlay,” one owner said.

Tesla has made a handful of moves to attract people to its cars after losing the tax credit. This could be a small but potentially mighty strategy that will pull some carbuyers to Tesla, especially now that the Apple CarPlay box is checked.

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