China officials accept a solution to Tesla customs issue

China’s customs officials have accepted electric automaker Tesla Inc’s plan to remedy concerns with the clearance of imported cars, a source knowledgeable with the matter informed Reuters.

Tesla shares dropped over 5 percent after financial publication Caixin reported previously that China had suspended customs clearance for the automaker’s Model 3 sedans, mentioning various irregularities including inappropriate labeling of the vehicles.

The source did not give any further information about the terms of how the issue was dealt with.