Tesla China has denied a Reuters report claiming the automaker is developing a new compact electric SUV. The denial comes just one day after we reported on the original Reuters exclusive citing four sources.

The denial was reported by Chinese financial wire Cailian Press (财联社), a major and well-established Chinese business news service. Tesla China told the outlet that “market information claiming that Tesla is developing a new, smaller, and cheaper electric SUV is inaccurate.”

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There are plenty of e-bikes that focus on performance. Plenty that focus on tech. And plenty that lean into affordability.

But every now and then, a bike comes along that feels more like a piece of art than a machine.

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Tesla’s actual retail sales in China crashed 16% year-over-year in Q1 2026, with March alone plunging 24% — despite several media outlets reporting that Tesla’s China numbers were up for the quarter.

The discrepancy comes down to the difference between wholesale and retail numbers. Tesla’s wholesale figures include vehicles produced at Giga Shanghai and exported to other markets, masking a significant decline in actual Chinese consumer demand.

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