President Trump’s escalating trade war with China is putting Elon Musk and Tesla in a tight spot as the electric vehicle manufacturer faces climbing tariffs in one of its most important markets.  Tesla suspended new orders of two models on its Chinese website on Friday as Beijing raised tariffs on American goods to 125 percent in the nation’s ongoing trade fight with the U.

Tesla has stopped taking orders for the Model S and Model X in China, which now face retaliatory 125% import duties levied by Beijing.