Tesla Inc (NASDAQ: TSLA) CEO Elon Musk stated that the company's driver-assistance technology was not engaged during a fatal crash in New York City. He argued the incident would not have occurred if Autopilot had been in use.

The accident involved a Tesla Model Y crashing into scaffolding in Manhattan at 2:43 am on Wednesday. Elise Suomi, 27, died in the collision. Driver Alejandra Paharsingh, 27, was hospitalized and arrested on charges of vehicular manslaughter, leaving the scene of an accident resulting in death, and driving while impaired.

Musk Criticizes Media Coverage

Musk responded to coverage on X, accusing ABC News of misleading the public regarding the crash details. He denied any involvement of Tesla's driver-assistance systems in the incident.

"It wasn't the car," Musk posted. "If Autopilot was in use, they would not have crashed."

He also criticized traditional media outlets, suggesting unfavorable coverage stems from Tesla's decision not to advertise with them. "The legacy media will never forgive Tesla for failing to advertise with them," he wrote.

Regulatory Scrutiny Continues

Questions regarding the efficacy of Tesla's Full Self-Driving system persist. The National Highway Traffic Safety Administration has opened a probe into the deployment of the Cybercab in Austin.

Musk continues to promote the Cybercab as a pivotal development in transportation. However, regulatory oversight remains a key focus for investors monitoring the company's autonomous vehicle ambitions.

Market Reaction

TSLA shares slipped 0.52% to $365.89 during overnight trading on Wednesday.

What the Numbers Show

The stock decline coincides with heightened regulatory scrutiny and negative publicity surrounding a fatal accident. While Musk attributes media criticism to advertising policies, the NHTSA probe indicates ongoing structural risks to the autonomy narrative.

Tesla Inc (NASDAQ: TSLA) reported a decline in Chinese retail sales for August, marking a divergence between domestic demand and export activity from its Shanghai facility.

The electric vehicle maker sold 50,047 retail units in China during the month, representing a 12.4% year-over-year drop. This figure marks the weakest August performance for the company since 2022, according to data cited by Cnevpost and Electrek.

Market Position and Competition

Tesla ranked fifth in the Chinese market for August, significantly trailing industry leader BYD (OTC: BYDDY). BYD recorded 233,943 retail unit sales in the same period, highlighting the intense competition Tesla faces from local manufacturers offering lower-cost models.

Broader market data indicates that battery-powered electric vehicle sales in China rose just 0.8% year-over-year in August. Meanwhile, total new energy vehicle sales, which include plug-in hybrids, contracted by 10.1% over the same period.

What the Numbers Show

While domestic retail demand softened, Tesla’s export operations demonstrated resilience. Exports from the Tesla Shanghai factory increased by 38.7% year-over-year. However, this growth rate lagged behind the broader Chinese new energy vehicle export sector, which surged 154.7% year-over-year in August. This divergence suggests that while Tesla maintains strong international logistics capabilities, it is capturing a smaller share of the explosive growth in Chinese EV exports compared to competitors.

Strategic Outlook

Investor focus on Tesla has shifted away from monthly vehicle delivery figures toward future growth drivers such as robotaxis and the Optimus humanoid robot. CEO Elon Musk has previously stated these technologies could constitute the majority of the company’s multi-trillion-dollar valuation.

Tesla shares traded up 0.17% to $368.80 on Wednesday. Over the past month, the stock has risen 12%, though it remains down 15.4% year-to-date in 2026.