Tesla, Inc. TSLA has bounced back big in China in May after a grossly underwhelming performance in the previous month.
What Happened: Tesla's wholesale sales of China-made vehicles totaled 32,165 units in May, Reuters reported, citing data from the China Passenger Car Association. This represented a 3.8% year-over-year decline from the 33,463 cars sold in May 2021.
The May performance is a notable 2000% improvement from the 1,512 cars Tesla sold in China in April. The company did not export any cars during the month.
Tesla exported 22,340 units in May 2022, which renders domestic sales at 9,825 units. A year ago, the company's exports and domestic sales stood at 21,936 units and 11,527 units, respectively. The higher mix of exports is in line with the company's policy of focusing on outward-bound commitments in the first half of the quarter.
Tesla's production increased from 10,757 units in April to 33,544 units in May.
Related Link: Is Tesla Warming To Radar Once Again?
Why It's Important: The shuttering of the Giga Shanghai facility for about three weeks in the wake of the COVID-19 resurgence in China has left investors worried. China is key to Tesla's growth story, both from supply and demand perspectives.
After the protracted lockdown, Tesla began operating with a single shift under a closed-loop production system, beginning on April 19. The company resumed double shifts in late May.
Among the domestic EV startups, Nio, Inc. NIO, XPeng, Inc. XPEV and Li Auto, Inc. LI delivered 7,024 units, 10,125 units, and 11,496 units, respectively, in May.
Warren Buffett-backed BYD Company Limited BYDDY produced and sold 57,029 and 53,349 units of battery EVs, respectively.
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.