A protest at a Tesla showroom in Chengdu.

  • According to Reuters, Tesla owners in China have gathered at delivery centers and outlets to protest the price cuts.
  • The video appears to show people yelling and carrying improvised items at the Tesla store.
  • The electric carmaker has cut prices in China for the second time in three months, and some of them missed out.

Tesla is facing a backlash from hundreds of car owners in China who protested at delivery centers and showrooms after missing out on big price cuts, according to a report.

About 200 people who recently bought Model Y and Model 3 vehicles gathered outside a Tesla delivery center in Shanghai on Saturday to demand tax refunds because they are now worth less than what they paid, Reuters reported.

Tesla cut prices in China on Friday for the second time in three months amid poor sales. Prices are 13% to 24% lower than in September. According to Bloomberg, it is 43% cheaper to buy a Tesla in China than in the United States.

Elon Musk’s company has also lowered prices in Japan, South Korea and Australia, a source told Reuters, in a move aimed at boosting demand for cars made at Tesla’s largest factory.

A Reuters video also showed protests inside Tesla’s Chengdu store. The news organization verified the location of the store, but not the date of the protest.

Another video posted on Saturday appeared to show further protests at a Tesla store in Xiaoshan, where several people were seen yelling, including one holding a placard. Insider was unable to confirm the store’s location.

Electric car makers have been forced to adjust prices abruptly in recent months as big automakers ramp up their competitiveness and the global economy deteriorates.

Early last year, Tesla rival Rivian raised prices in response to rising supply chain costs, even for customers who had placed orders but eventually withdrew them.

Ford also raised the price of its F-150 Lightning electric truck by $8,500 in August due to “significantly higher material costs.”

But Tesla’s move to cut prices in China is more a reflection of sluggish demand due to years of COVID-19 shutdowns, as well as a depressed Tesla stock price and a big bet on the Shanghai factory.

Tesla did not immediately respond to Insider’s request for comment.

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