Reaching the lowest level in five months, the sales of the American company "Tesla" electric cars in China fell significantly in December.

The Chinese passenger car Association said that "Tesla" sold the number of 55,796 Chinese-made electric cars in December

According to the association's data, sales volumes represented a 44 percent drop from sales in November, and 21 percent less than a year earlier, as the US automaker reduced production and cut prices to cope with rising inventories amid weak demand.

This represents the lowest number of monthly deliveries since July, when most of the production at the "Tesla" factory in Shanghai was temporarily stopped to develop production lines.

Shares of the company "Tesla" fell by about 5 percent in morning trading .

The stock has lost more than 70 percent of its value since its peak in November 2021.

Chinese Assembly data showed that for the entire year 2022, the company delivered 50 percent of what it sold in 2021 from cars produced at its Shanghai plant.

Globally, the electric car maker's shipments rose 40 percent last year, falling short of the 50 percent annual target set by CEO Elon Musk.

A previous Reuters report said that "Tesla" stopped production at its factory in Shanghai, its most productive manufacturing centers, from December 24 to January as part of efforts to reduce production.

According to the statements of the China Passenger Car Association, the Chinese competitor "B.Y.De " still tops all brands in electric car sales in China in December with 234,598 electric vehicles sold, including hybrid and fully electric cars, more than four times Tesla's sales in the same month.

The association's statement added: "Siak-ji."M-line Automotive, a joint venture of General Motors in China to produce relatively cheap electric cars, also outperformed Tesla by 53 percent.