Tesla Exports Shanghai-Made EVs to Vietnam Amid China Sales Slump
Tesla is exporting electric vehicles from its Shanghai plant to Vietnam to offset a 12 percent decline in Chinese domestic deliveries.
Tesla has begun exporting electric vehicles produced at its Shanghai plant to Vietnam as part of a strategic effort to maintain margins during a brutal price war and economic uncertainty in China. Through the first eight months of 2026, the company's China deliveries fell 12 percent to just over 316,000 vehicles, while its export volume rose 115 percent to over 331,000 vehicles.
Tesla aims to capture a share of the Vietnamese market, where electric vehicle sales surged nearly 90 percent in the second quarter of 2026. The company intends to leverage its advanced software and premium brand image to attract buyers in Southeast Asia's largest EV market.
Despite the growth in demand, Tesla faces a steep challenge from VinFast Auto, which currently controls 92 percent of the domestic EV market in Vietnam. The shift toward exports represents a broader attempt by the manufacturer to stabilize its global sales volume as domestic demand in China weakens.
