China increases pressure on Tesla

Regulators and state media in China seem dissatisfied with Tesla Inc. (Nasdaq: TSLA) and the way the company has been handling its business lately. The parties continue to put pressure on the automaker, criticizing it for drowning a woman's scream "over its product at a recent auto show. Tesla hosted the auto show this week and is facing tough times in China. Economic analysts suggest that Tesla could end up experiencing one of its worst public crises in the country. Market investors have also given their point of view, pointing out that Tesla is at risk of losing a market that has been pretty critical to the company's growth and development over the years. The crisis began Monday when a woman stood on one of Tesla's cars and protested the company's substandard product. The woman claimed that she was a customer of the company and had problems with her car's brakes. She wore a t-shirt that showed her dissatisfaction with a car she allegedly bought from Tesla. The words on her shirt read, "The brakes don't work." It was a weak moment for Tesla when the woman publicly protested a brake bug in one of its products that she claimed was not working. Such complaints have cropped up repeatedly over the past few months. Chinese social media users have posted multiple times that many drivers have struggled with defective brakes. Tesla faces a major crisis as the woman's protest video continues to make the rounds on social media. The state media have also picked up the matter and broadcast it live on news sources. On Tuesday, police in Shanghai found the woman involved in the protest and gave her name as Zhang. The police charged her with disturbing public order and said she would be detained for five days. Tesla rushed to his defense, claiming the woman was involved in a collision back in February. The company states that the problem with the brakes must stem from the collision. Tesla insists the woman violated applicable speeding rules and that she was to blame. The company also disclosed that the woman was only interested in a refund and had persistently denied the need for a third party inspection. China is not taking the matter lightly and has been quick to label Tesla as an arrogant automaker.