Tesla is recalling greater than 80,000 automobiles in China over software program and seatbelt points, the Chinese language market regulator stated Friday.

The U.S. electrical automobile large is recalling a complete of 67,698 imported Mannequin S and Mannequin X autos produced between Sept. 25, 2013 and Nov. 21, 2020, China’s State Administration for Market Regulation stated.

The recall of those fashions is because of a software program difficulty that impacts the battery administration system of the automobiles. Tesla will improve the software program on these autos freed from cost.

Elon Musk’s automaker can be recalling 2,736 imported Mannequin 3 autos produced between Jan. 12, 2019 and Nov. 22, 2019 in addition to 10,127 of the China-made model of this automobile attributable to a doubtlessly defective seatbelt.

Tesla will test the seatbelts on the affected automobiles, the regulator stated.

Tesla was not instantly accessible for remark when contacted by CNBC.

Traders might be expecting any fallout for Tesla in China from the recall. The market is more and more aggressive with home challengers from Warren Buffett-backed BYD to upstarts like Nio and Xpeng.

“Remembers are all the time expensive and infrequently get amplified in a means that may be reputationally damaging — very true now because the market has develop into hyper-competitive and Tesla’s backlog has been shrinking,” Invoice Russo, CEO at Shanghai-based Automobility, instructed CNBC.

“This recall largely impacts imported fashions (S and X), so it may be managed in the event that they get out in entrance of it.”

China is one in all Tesla’s most necessary markets. The corporate has a serious manufacturing manufacturing unit in Shanghai and has been promoting a report variety of China made-cars in latest months.

However Tesla additionally faces rising competitors in China as corporations like Xpeng, Nio and Li Auto ramp up new automobile releases for 2023 in a bid to problem the U.S. electrical automaker’s dominance.

Final month, Tesla slashed the worth of Mannequin 3 and Mannequin Y autos in China after elevating them earlier this yr attributable to increased materials prices.

It’s not the primary time that Tesla has needed to recall automobiles in China. In Could, the U.S. agency recalled greater than 100,000 automobiles attributable to an overheating difficulty.

— CNBC’s Sam Vadas contributed to this report.