A brand new scathing report about Tesla simply got here out in China. It describes how the automaker is changing into trigger-happy, suing its personal clients and the media whereas auto journalists are being informed to not be unfavorable concerning the American automaker.
To at the present time, Tesla is the one overseas automaker with a wholly-owned automotive manufacturing facility in China, though Toyota is predicted to observe in a couple of years.
Elon Musk made the deal occur with Chinese language Communist Get together (CCP) officers again in 2018. Tesla Gigafactory Shanghai turned the corporate’s largest manufacturing hub and its largest income and revenue.
Tesla would by no means be the place it’s right now with out Gigafactory Shanghai and the Chinese language market.
Now, we be taught that Tesla is keen to go to nice lengths to guard that.
The Related Press (AP) has simply launched a captivating in-depth report about Tesla’s actions in China relating to clients and the media.
The report facilities round a brand new perspective on the extremely publicized battle between Tesla and one in all its Chinese language clients who claimed a brake defect, however it additionally goes deeper by highlighting a shit in Tesla’s strategy to criticism in China.
AP discovered that Tesla sued “a minimum of six automotive house owners in China who had sudden automobile malfunctions, high quality complaints or accidents they claimed have been brought on by mechanical failures.”
Tesla additionally sued “a minimum of six bloggers and two Chinese language media shops that wrote critically concerning the firm.”
That is extremely uncommon habits for an automaker.
The report additionally highlights the shut relationship between Tesla and CCP officers, particularly Li Qiang, the previous occasion boss of Shanghai who’s now China’s premier. He was concerned within the Gigafactory Shanghai deal.
It’s not information that Tesla benefited from preferential remedy in China, however the report goes fairly a bit additional.
AP alleges that native media are instructed to not be unfavorable on Tesla:
Tesla has profited from the largesse of the Chinese language state, profitable unprecedented regulatory advantages, below-market price loans and enormous tax breaks. With a couple of pointed exceptions, Tesla has loved largely ingratiating protection within the Chinese language press, and journalists informed AP they’ve been instructed to keep away from unfavorable protection of the automaker.
A reporter informed AP:
“We have been informed by our editor that we must always not write negatively about Tesla as a result of it’s a key firm that was launched and guarded by the Shanghai authorities.”
The report additionally explains how Tesla wins about 90% of the courtroom instances filed in opposition to the automaker by clients who declare a defect.
Many shoppers complained of Tesla’s lack of communication, resulting in submitting lawsuits.
In the event that they file lawsuits, they lose, and in the event that they complain publicly, they’re those getting sued by Tesla and compelled to pay the corporate and make a public apology.
Electrek’s Take
That’s fairly a report. It gave a brand new perspective on Ms. Zhang’s case. Her case made it to Western media in 2021-2022, however by no means with the extent of element on this report.
The information are she acquired into an accident. She claimed it was on account of a brake failure. Tesla claimed it was on account of a driver mistake.
She felt compelled to protest Tesla over what she noticed as a severe security concern. She was fairly persistent with it. Tesla sued her and gained as a result of she had no solution to show {that a} brake defect had precipitated the accident. She was compelled to pay Tesla and make a public apology.
However we additionally discovered that Tesla claimed that different entities have been backing her regardless of no proof of that in any respect.
I feel there’s room for reflection on Tesla’s half right here. Is that this what it needs to be: an organization that sues its clients and media over criticism?
Like some clients stated within the report, Tesla might have prevented a lot that by merely having higher communications with clients.
FTC: We use earnings incomes auto affiliate hyperlinks. Extra.
