Tesla’s Shares Keep Falling as Production in China Will Reportedly Slow Next Month

Tesla plans to reduce production at its Shanghai plant next month, according to Reuters, giving investors another reason to sell their stock. Shares fell 11 percent today (Dec. 27), continuing a decline that began in April and has seen the stock fall 68 percent this year.

Shares fell to $109 today after trading for as much as $312 as recently as September. Tesla’s decline has coincided with CEO Elon Musk’s pursuit and purchase of Twitter, leading investors to call for his resignation as head of the car company. Musk, who has blamed Tesla’s share performance on the economy, has instead said he will step down as CEO of Twitter if he can find a replacement.

According to a schedule seen by Reuters, Tesla plans to run its Shanghai plant from Jan. 3 to Jan. 19, then stop for the remainder of the month in observation of Lunar New Year. The company has not typically taken off that many days for the holiday.

Tesla’s Shanghai plant was disrupted by Covid-related shutdowns earlier this year, but the January slowdown may be a sign of slowing demand for the cars in China, where sales in December were down 28 percent from last year, Reuters said.

Tesla did not respond to a request for comment.