Tesla under pressure from European EV probe ⚡

Tesla (TSLA.US) and other European automakers that import from China into the EU will be part of an investigation into whether the electric vehicle industry receives unfair subsidies, the Financial Times reported, citing Valdis Dombrovskis, the EU's executive vice president.

The EU is "open to competition" in the electric vehicle sector, the official added, but "competition must be fair," adding that other countries have already imposed tariffs on electric vehicles from China. The investigation will cover all companies (not just Chinese) that receive subsidies on the production side.

This situation for Tesla (TSLA.US) itself could prove problematic, as nearly 20% of all the brand's electric vehicles sold in Europe are manufactured in China, including at a factory in Shanghai.

The company's shares are losing nearly 1% before the start of the session on Wall Street. Source: xStation

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