Tesla Motors (NASDAQ:TSLA) has announced that it will be cutting jobs in China.
The job cuts in China come as Tesla experiences slow sales of its electric vehicles. The company said that it’s still dedicated to the area despite not seeing the sales that it expected. The Chinese government has been offering subsidies for those buying the cars, but the high prices are still scaring some people off, reports The Wall Street Journal.
According to Bloomberg, Tesla plans to cut 30% of jobs from its department in China. This will have it removing 180 of its 600 employees in the country.
China wants to see roughly 500,000 vehicles that use energy besides oil on the road by the end of the year. However, only 50,000 such cars and 20 million such passenger vehicles were sold in 2014. Part of the problem is that people are unsure if they will be able to keep their vehicles running due to the lack of charging stations. This is also hurting Tesla’s sales in the country, WSJ notes.
TSLA shares were down 1% as of Monday afternoon.
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