Tesla Inc will shorten change hours at its Shanghai manufacturing facility and has delayed on-boarding of new team at its most productive plant, according to a report by Bloomberg News, sending shares down about 2% on Thursday.

The factory in China will shorten shifts by about two several hours as early as Monday, the report extra, citing resources common with the matter.

Tesla’s Shanghai plant is grappling with elevated inventory stages amid slowing need in China’s automobile industry.

Still, the plant recorded greatest month to month sales of a lot more than 100,000 autos in November.

The EV maker did not quickly react to a Reuters request for comment.