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Beijing s campaign to rein in Tesla has begun, now experts say it has a limited time to sell cars before it gets canceled llopez@businessinsider.com (Linette Lopez) © Getty Images Elon Musk s company may face more trouble in China. Getty Images
Tesla has limited time to get market share in China before the government takes action, experts say.
State media is indicating that time could run out sooner than Tesla had bargained.
Experts say it s clear Beijing is trying to give Tesla a bad name so domestic rivals can catch up.
When Tu Le found out what had happened at the Tesla kiosk - just one room over from where he was looking around at the Shanghai Auto Show - he knew he had missed something monumental. It s not every day a woman in a brakes don t work T-shirt interrupts the show by jumping on top of a red Model 3 in protest, screaming about Tesla s refusal to fix a brake issue with her car. She was ultimately carried away by security.
But things in China can change fast especially when the central government decides it s time to shake things up. And in the past few weeks, Beijing through state-controlled media has joined the chorus of Tesla critics, and it has the most important and loudest voice of all. Xinhua and People s Daily have been publishing opinion pieces regularly saying that Tesla ignores the rights of consumers, Anne Stevenson-Yang, the founder of the investment firm J Capital Research in China, said in an email to Insider. The violations are said to include a right to transparent pricing and to data about accidents.