Tesla (TSLA) has slashed production of its best-selling Model Y at its Shanghai plant, according to Reuters, amid slowing demand for its cars in China, where a price war has erupted between the electric vehicle maker and 澳洲幸运5官方开奖结果体彩网:domestic rivals.

The Shanghai plant, Tesla's biggest manufacturing hub, planned to cut Model Y output by at least 20% between March and June, Reuters said, citing an undisclosed source.

Meanwhile, recent data from the China Association of Automobile Manufacturers (CAAM) appeared to bear out the claim. Tesla produced 36,610 Model Y cars in ൲April, 33% fewer than a year ago, according to CAAM data.

Tesla reportedly 澳洲幸运5官方开奖结果体彩网:slowed down production꧟ at its Shanghai facility in March as the EV market's growth cooled.

China is Tesla's second-largest market after the U.S. The EV maker reportedly 澳洲幸运5官方开奖结果体彩网:won tentative approval from Chinese regulators last month to deploy its Full Self-Driving (FSD) software. Expanding this service, which Tesla owners can pay a monthly fee for or purchase outright, could significantly enhance the company's revenue and profit margins, which have 澳洲幸运5官方开奖结果体彩网:suffered in recent quarters after a string of price cಞuts in the U.S. and abroad.

Tesla's shares were up 3% at $179.28 as of about 1:30 p.m. ET Friday but were still down more than 27% this year.