Tesla (TSLA.O) has suspended taking new orders for Model S and Model X vehicles on its Chinese website, according to checks made by Reuters on Friday.
New orders for the two imported models are also no longer available on the U.S. automaker’s WeChat mini programme account.
Meanwhile Wall Street stocks fell sharply on Thursday amid growing concerns over Trump‘s ongoing trade battles. All three main US stock indexes suffered deep losses, losing most of the gains they made a day before.
While on one hand S&P was down 3.5% on Thursday, Dow Jones Industrial Average also took a dive by 2.5%. Nasdaq too was down 4.3%.
Although US has paused 26% tariff on India till July, the major tariffs on goods from China, Mexico, and Canada are still in effect. These countries supply a large share of what the US imports.
Read more: Canada freezes rebate payments to Tesla
Due to this, people, investors, and the US Federal Reserve are dealing with another three months of uncertainty as the trade situation remains unsettled.
This ongoing uncertainty is of course hurting the confidence in the market. Fed officials are already worried that people and businesses are cutting back on spending and investment, as per CNN.
This week, many policymakers have expressed that they still believe the tariffs are harming economic growth and may lead to higher inflation. That also puts the Federal Reserve in a tough spot when it comes to setting interest rates and other monetary policies.
