Tesla Can't Sell Cars in China Because of Trademark Problem

Last week, Tesla surprised Wall Street traders with news of profits: 20 cents a share compared to the estimated 20 cents lost people were expecting. The stock grew double digits in a single day, which was also due to the fact that Ellon Musk announced they were setting up shop in China.
Tesla Model S 1 photo
Photo: Tesla
Nowadays, opening up dealerships in China is viewed as a sure-fire way to make big profits and investors are jumping at the opportunity. But it seems Tesla's good news was short-lived.

The California company has hit a dead end, as Baosheng Zhan has registered the right to the Tesla name for use on cars back in 2009. Coincidently, that's the very same year when the Model S was revealed as a concept, and Zhan is looking to cash in big on his foresight. Apparently, he wants somewhere around $3 million, which the company is not willing to pay.

China also has a history of protecting the local hustlers over international companies. A few years ago, Apple faced a similar problem and settled on paying $60 million to buy the iPad name.

At the time of writing, 4hours into New York trading, Tesla Stock is trading $5.5 down, a decrease of -3.6%.
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About the author: Mihnea Radu
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Mihnea's favorite cars have already been built, the so-called modern classics from the '80s and '90s. He also loves local car culture from all over the world, so don't be surprised to see him getting excited about weird Japanese imports, low-rider VWs out of Germany, replicas from Russia or LS swaps down in Florida.
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