Tesla (NASDAQ:TSLA) suppliers in China traded higher on Friday after the electric vehicle manufacturer reported stronger-than-expected second-quarter delivery figures, boosting investor confidence that the company may be emerging from a prolonged period of declining sales.
Auto parts manufacturers Ningbo Xusheng, Ningbo Tuopu and Zhejiang Sanhua gained between 5% and 9% in mainland Chinese trading. In Hong Kong, Fuyao Glass advanced 3%, while leading battery producer CATL added 0.7%.
Tesla delivered a record 480,126 vehicles during the June quarter, supported by robust demand in Europe and modest sales growth in China.
The company also expanded its lineup with more affordable versions of its popular Model 3 and Model Y, helping maintain demand as higher fuel prices encouraged consumers to consider electric vehicles.
Production of the updated Model Y further strengthened sales of China-built vehicles, highlighting the country’s continued importance as both a manufacturing base and one of Tesla’s largest global markets.
The latest delivery performance comes despite intensifying competition from Chinese electric vehicle manufacturers, including BYD, which continues to expand its presence across European markets.