Tesla has faced multiple lawsuits in China, but not in the way most would expect. Instead of being primarily on the defensive, the company has aggressively pursued legal action against customers, bloggers, and media outlets that criticized its vehicles. A review by the Associated Press (AP) reveals that Tesla has won all eleven cases for which verdicts could be determined.
Customer Lawsuits: Silencing Criticism?
One of the most notable cases involves Zhang Yazhou, who was in the passenger seat of her Tesla Model 3 when her father allegedly experienced brake failure, leading to a severe crash. After Zhang publicly complained about Tesla’s braking issues, Tesla sued her for defamation—and won. A Chinese court ordered Zhang to pay over $23,000 in damages and issue a public apology.
Tesla has pursued similar lawsuits against at least six other car owners who claimed sudden vehicle malfunctions or accidents caused by mechanical failures.
Targeting Bloggers and Media Outlets
Beyond customers, Tesla has sued at least six bloggers and two Chinese media outlets for negative coverage. Journalists in China told AP they have been instructed to avoid negative reporting on the automaker. This aligns with Tesla’s broader relationship with the Chinese state, which has provided regulatory advantages, low-interest loans, and major tax breaks.
Elon Musk’s Growing Political Influence
The AP report also raises concerns about Elon Musk’s influence beyond China, particularly in the United States under President Donald J. Trump. Musk has been a key player in government restructuring, advocating for cuts to federal oversight and regulation, potentially benefiting Tesla and his other companies.
Tesla’s Legal Edge in China
Tesla’s near 90% success rate in civil lawsuits related to safety and quality disputes further highlights the legal advantages it enjoys in China. The company’s aggressive legal strategy and close ties to Chinese regulators have allowed it to operate with minimal accountability, setting a precedent that could influence how multinational corporations navigate authoritarian legal systems in the future.
