© Reuters. FILE PHOTO: A truck transports new Tesla cars at its factory in Shanghai, China May 13, 2021. REUTERS/Aly Song/File Photo/File Photo
SHANGHAI (Reuters) – U.S. electric vehicle (EV) maker Tesla (NASDAQ:) Inc delivered 65,814 China-made vehicles in March, up 16% from the previous month, data from the China Passenger Car Association showed on Monday.
But production at Tesla’s Shanghai factory, 55,462 cars, was only 154 units higher than in February, a shorter month during which workers usually get some time off for the Lunar New Year holiday, the data showed.
The association said EV makers in China produced far fewer cars in total than expected in March, due to measures taken across the country to control COVID-19.
EV makers are selling from stockpiles to support deliveries, said association secretary general Cui Dongshu.
Overall passenger car sales in March in China totalled 1.61 million, down 10.9% from a year earlier, the association said.
China has imposed strict lockdowns to contain the spread of the highly contagious Omicron variant in several places – including Jilin province and Shanghai, where factories of major automakers and their suppliers are located.
Such measures nationwide had disrupted logistics and affected retail sales of cars, Cui added.
Automakers were facing “tremendous” pressures to secure their deliveries, he said.
Chinese EV maker Nio (NYSE:) said on Saturday it had suspended production after the country’s measures to contain the recent epidemic surge had disrupted operations at its suppliers. Shares in Nio slumped 9% on Monday.