American electric car manufacturer Tesla is accelerating job cuts in China. According to sources from the Bloomberg news agency, the company started laying off customer service representatives, engineers, production workers and logistics workers this week.
The additional layoffs come at Tesla’s Shanghai factory, where more than half of the company’s global production occurs. It is still unclear how many people will be affected and the consequences of Tesla’s activities in China.
CEO Elon Musk announced he would cut more than 10 percent of jobs worldwide. The electric car manufacturer employs approximately 140,000 people. However, according to those involved, this percentage is not sacred, and many more people could lose their jobs.
Tesla is struggling with a worldwide decline in demand for electric cars. The Americans face intense price competition, especially in China.