Tesla (TSLA) stock climbed almost 4% in premarket trading Monday, poised to kick the week off on a positive note amid optimism about an easing in US tariff plans.
At the weekend, reports said that President Trump will hold off from bringing in tariffs on the auto sector on April 2 as was anticipated. Worries about the impact of new trade duties on Tesla’s upcoming results contributed to Wall Street’s recent cuts to earnings outlooks.
On Monday, the electric car maker responded to complaints about a pause in its Full Self-Driving trial in China, saying it will release the features once regulatory approval is secured.
At the same time, Tesla is grappling with falling sales in overseas markets, as rivals like BYD (BYDDY, 1211.HK) make up ground. BMW (BMW.DE) and Volkswagen (VWAGY, VOW3.DE) outsold the EV maker in Europe in February, fresh data showed.
Tesla shares surged after the US election, driven by investor optimism over its CEO Elon Musk’s close ties to the Trump administration, but have since pulled back from those highs.
The stock began digging itself out of its most recent dip last week after Tesla revealed plans to launch its robotaxi service in 2025.
