Tesla’s rumored sales slump in China doesn’t seem to be a worry of Cui Dongshu, the Secretary General of the Chinese Passenger Car Association. Cui said that recent claims of brake problems shouldn’t affect Tesla’s sales in China, where the company has found mainstream success since first delivering its vehicles in the country in January 2020.
Yesterday, reports of a halving of Tesla’s sales in China ran a riot on the automaker’s stock. Unsubstantiated claims from supposed internal data suggested that Tesla’s net orders dropped to 9,800 vehicles in May, slightly more than half of what the automaker did the month previously with 18,000 orders. Tesla stock plummeted after the reports.
However, Cui told Chinese media outlet the Global Times that he doesn’t necessarily believe that sales will be that low. While he does suggest that sales “won’t be less than 10,000 units,” Cui says that orders does not equal sales.
Cui commented (via Global Times):
“Placed orders cannot equal the sales number in one month. Usually, monthly sales are accumulated units of orders over previous months, so the immediate results in May might not truly reflect whether the recently reported accidents have had any real impact on Tesla’s sales.”
Cui suggests that if any real damage was done to Tesla’s demand in China, it wouldn’t be recognized until July or August.
Tesla has been forced to battle numerous reports of quality issues in China over the past several months. It all began at the Shanghai Auto Show when a woman claimed that her Model 3 had faulty breaks that caused an accident. The woman refused Tesla’s offer to have a third-party company inspect her car on the automaker’s dime, and continued to show up at various locations to harass the company. She even went as far as spraypainting her own car with the words “Tesla brakes failed me,” while parking the vehicle outside of a local Tesla showroom.
Even more stories of rumored parts failures plagued Tesla throughout April and May. However, many came forward and revealed that their vehicles had nothing wrong, and Tesla China’s legal team has held these parties accountable by making them issue public apologies. Unfortunately, it seems people are attempting to gain fame on Tesla’s behalf, but the automaker is having no parts of assisting people in getting their “fifteen minutes of fame.”
Tesla owner apologizes for staging “brake failure” incident in China
Rumors of lackluster sales figures in China in April have also made their way through the news. However, Tesla has made several changes to its supply chain, especially when talking about the delivery of its vehicles. In January, Tesla started exporting China-built Model 3s to Europe to handle increasing demand, which contributed to declining figures in China. However, the vehicle still remains the second-most popular EV in the country, only trailing the highly-affordable Wuling HongGuang Mini EV that starts at around $5,000.
Tesla currently builds the Model 3 and Model Y in China at its Shanghai-located production facility.
What do you think? Let us know in the comments below, or be sure to email me at joey@teslarati.com or on Twitter @KlenderJoey.
Elon Musk
Tesla’s popular side business is going to get bigger, Elon Musk says
It took several years to get the Diner developed, built, and opened. On July 21, Tesla launched the Diner to the public at 4:20 p.m. local time (of course), after years of development. Musk first offered the idea of a drive-in Supercharger Diner back in December 2018.
 
														Tesla will open two new Diner locations in the United States after its first location in Los Angeles has been a raging success, as it is constantly packed and serving food for 24 hours a day, every day.
Tesla CEO Elon Musk said that the initial Diner location on Santa Monica Boulevard is “going well,” and based on reviews and its constant out-the-door lines, it is safe to say it has been a major outlet of interest for people in the area.
It features two massive movie screens, a menu that is locally sourced and has been created by a world-class chef, and Supercharging for EVs. It truly is the perfect stop for those who are hungry, need entertainment, or need a quick charge.

Credit: Tesla
So far, Tesla has not released too many details on the success of the restaurant, but it did state in a graphic for its Q3 Supercharging stats that it sold roughly 50,000 burgers at the Diner in Q3, roughly 715 each day. Burgers are not the only thing on the menu, either.
With how well it has gone, Musk is now considering the possibility of new locations that are notable to Tesla, including Austin and Palo Alto.
On Friday, Musk revealed he believes it “probably makes sense to open one” near Gigafactory Texas and Engineering HQ in Palo Alto:”
The futuristic Tesla Diner is going well. Probably makes sense to open one near our Giga Texas HQ in Austin and engineering HQ in Palo Alto. 😋 https://t.co/l0DUtR8CFg
— Elon Musk (@elonmusk) October 31, 2025
It took several years to get the Diner developed, built, and opened. On July 21, Tesla launched the Diner to the public at 4:20 p.m. local time (of course), after years of development. Musk first offered the idea of a drive-in Supercharger Diner back in December 2018.
By 2023, Tesla had secured building permits and broken ground on the site in September of that year.
Since its launch, it has been a popular hotspot for Tesla fans and others to visit, although it has attracted unwanted attention from protestors as well.
Cringey protestors are outside the Tesla Diner in Los Angeles singing “Elon Musk has got to go”
These people are absolutely nuts pic.twitter.com/LZ0U6rpMIn
— TESLARATI (@Teslarati) October 27, 2025
They look hungry. If they walked inside and ordered some food, maybe they’d stop yelling into microphones and threatening Musk.
Elon Musk
Elon Musk’s AI empire grows as xAI leases Palo Alto space near Tesla
The expanding footprint of Elon Musk’s companies in Palo Alto bodes well for the CEO’s plans in the area.
 
														Elon Musk’s artificial intelligence startup, xAI, is expanding its Silicon Valley footprint, leasing roughly 105,000 square feet of office space at Palo Alto’s Page Mill Center, just blocks away from Tesla’s engineering complex.
Musk’s deepening Silicon Valley footprint
People familiar with the matter have informed the San Francisco Business Times that xAI’s lease at Page Mill Center may already have been finalized, adding to the company’s existing headquarters at 1450 Page Mill Road. The two offices share a parking lot, reflecting Musk’s strategy of consolidating his ventures. Tesla’s engineering hub is also just a few blocks away.
The new offices form a growing cluster of Musk-led companies in the heart of the Valley and come as xAI has listed over 250 job openings. These include listings for engineers, designers, and technical staff, among others.
xAI’s aggressive hiring push hints at rapid scaling, which makes quite a lot of sense considering the company’s ambitious projects. xAI oversees the large language model Grok and other AI initiatives such as the newly launched Grokipedia, and the startup has also acquired the social media platform X. Real estate owner Hudson Pacific Properties, the owners of Page Mill Center, have so far declined to comment.
AI demand and Silicon Valley’s office rebound
Silicon Valley’s office market, long subdued by remote work trends, is seeing renewed activity from AI firms. Hudson Pacific told investors this summer that tenant demand has reached a three-year high, with over half of new leases driven by artificial intelligence companies. Vacancy rates have now fallen for four straight quarters to 16.6% as well, CBRE reported.
The expanding footprint of Elon Musk’s companies in Palo Alto bodes well for the CEO’s plans in the area. Musk, after all, has previously butted heads with officials, resulting in his two biggest ventures, electric vehicle maker Tesla and private space company SpaceX, officially relocating their headquarters to Texas.
News
Starship lunar update shows SpaceX will not give up the Moon without a fight
SpaceX stated that the revised concept aims to “result in a faster return to the moon while simultaneously improving crew safety.”
 
														SpaceX is reassessing its Starship mission plan for NASA’s Artemis 3 program, exploring what it calls a “simplified” architecture that could accelerate the first crewed lunar landing of the 21st century.
The private space company stated that the revised concept aims to “result in a faster return to the moon while simultaneously improving crew safety,” following NASA’s decision to reopen the lunar mission contract to new competition.
SpaceX outlines HLS progress
In a blog post titled To the Moon and Beyond, SpaceX detailed recent Starship milestones and reaffirmed its role as a “core enabler” of NASA’s lunar ambitions. As per SpaceX, its efforts are not just aimed at returning to the Moon. It is aimed at establishing a permanent, sustainable presence on the lunar surface.
“Since the contract was awarded, we have been consistently responsive to NASA as requirements for Artemis III have changed and have shared ideas on how to simplify the mission to align with national priorities. In response to the latest calls, we’ve shared and are formally assessing a simplified mission architecture and concept of operations that we believe will result in a faster return to the Moon while simultaneously improving crew safety,” SpaceX wrote in its post.
The post described Starship’s vast potential for lunar operations, noting that a single vehicle provides over 600 cubic meters of pressurized habitable volume, roughly two-thirds that of pressurized volume of the entire International Space Station, and is “complete with a cabin that can be scaled for large numbers of explorers and dual airlocks for surface exploration.”
SpaceX also mentioned its fixed-price NASA contract, which ensures taxpayer protection while incentivizing milestone-based progress. As part of its preparations for a Moon mission, SpaceX plans to conduct a key in-space refueling demonstration in 2026, as noted in a Space.com report. Regerdless, SpaceX is still continuing the parallel development of its “core” Starship for Mars and deep-space exploration.
SpaceX’s update followed NASA concerns
NASA Acting Administrator Sean Duffy recently voiced frustration over Starship’s pace, noting on CNBC that SpaceX “pushed their timelines out” while the U.S. remains in a race against rivals. In a comment, Duffy stated that NASA will not wait for one company as it pushes forward with its Artemis program.
“I love SpaceX. It’s an amazing company. The problem is, they’re behind. They’ve pushed their timelines out, and we’re in a race against China. The president and I want to get to the Moon in this president’s term, so I’m going to open up the contracts. I’m going to let other space companies compete with SpaceX, like Blue Origin,” Duffy said.
Elon Musk publicly criticized Duffy over his remarks, but SpaceX’s latest update has shifted the focus back to technical progress and mission readiness. While SpaceX did not elaborate on the details of its simplified architecture, Musk hinted that Starship could eventually accomplish “the whole moon mission” on its own. “Starship will build Moonbase Alpha,” Musk wrote in a recent post on X.
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