Tesla recalls hundreds Model 3 cars shipped to China

Tesla recalls 734 units of its Model 3 car produced in 2019 and shipped to China, the State Administration for Market Regulation said on Thursday.

The announcement follows recalls of tens of thousands of Tesla vehicles in China and the US in the last several months.

The Model 3 is a best-seller in mainland China, outselling similarly priced models for local start-ups such as Nio.

Elon Musk’s automaker has recently come under increased regulatory scrutiny in China after a series of negative consumer and media reports on brake failures and collisions.

Thursday’s recall included cars that either have a seat belt issue that can increase the risk of passenger injury in the event of a collision or a tire-related problem that can increase risk of collision.

The carmaker will notify affected car owners, and conduct free inspections and repairs, the statement said.

Tesla shares fell 3% in Wednesday trading session on Wall Street and were off by 2.13% to $592.02.