Why Is Tesla Stock Up Today?

Tesla is recalling 2.98 million vehicles in China, including Models 3, Y, X, and S, due to door handle safety risks. Chinese authorities also announced recalls from other carmakers like Xiaomi, Leapmotor, Geely, and XPENG. The recalls follow planned regulations banning hidden door handles, which could hinder escape in emergencies. Tesla will address the issue with software updates.

China is recalling 4.3 million vehicles from 11 automakers, including 2.98 million Tesla cars, due to concerns about emergency mechanical releases. Tesla's recall involves warning labels and a software update to lower windows post-collision. The recall is the largest in China's history and comes ahead of a 2027 ban on hidden door handles.

Tesla (TSLA) and SpaceX (SPCX) are investing $16.8B in a semiconductor plant, Terafab, with Intel. The project aims to secure chip supply, reduce geopolitical risks, and save costs. Success could improve their risk profiles and stock performance, but challenges remain.

Tesla and eight other automakers are recalling about 4.3 million vehicles in China due to concerns about electronic door handles, which may be difficult to open in emergencies. The handles, popularized by Tesla, are designed to sit flush with the door. China has increased oversight of the EV industry, and regulators in the U.S. and Europe are considering new safety standards. Tesla has not yet announced recalls in the U.S. or Europe.

Tesla's stock rose 1% to $348.47 on news of its electric semi truck launch in Europe, following a 500-truck order from Einride. The Semi, priced at $300,000, could generate $15B annual sales if 50,000 units are produced. Investors are also focused on Tesla's AI-driven robo-taxi service and humanoid robots, with shares up 1% for the week.

Tesla is recalling 2.98 million vehicles in China to address safety concerns with door handles, part of a larger recall involving 4.3 million cars from 11 manufacturers. The recall includes adding warning labels and a software update. Additionally, Tesla will recall 2.74 million vehicles to improve driver monitoring systems. China will ban hidden door handles from 2027, affecting Tesla's design language.