Tesla says investigating vehicle explosion in Shanghai


It was not immediately clear which Tesla model was affected, but reports indicated the auto was parked at the time of the fire.

Tesla did not confirm the vehicle model but social media identified it as Model S.

The video showed smoke rising from a parked, white vehicle and seconds later it bursts into flames. Import tariffs resulting from the trade war with the United States have seen Tesla prices in China fluctuate wildly. "From what we know now, no one was harmed", said a Tesla China spokesperson in an email statement.

Tesla is investigating after one of its vehicles appeared to explode in China.

The user who posted the video originally on Chinese social media said the explosion took place in Shanghai, and the time stamp on the video says the explosion took place at 8:15 p.m. local time.

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"We remain encouraged by Tesla's vision and future growth prospects, but there is increased uncertainty around near-term demand versus previous bullish forecasts and growth can not stall for a growth company", Evercore analysts wrote in their note downgrading the shares.

"Tesla had fire incidents before, but they didn't have a big impact on its reputation in China", said analyst Alan Kang at LMC Automotive.

Another Weibo user registered under the name Your Dad, added: "One thing I've learned from this incident: from now on, don't ever park next to a Tesla".

New surveillance video posted to Twitter late yesterday afternoon appears to show a parked Tesla Model S catching fire on its own.