Tesla said it is vulnerable to potential retaliation from other countries as the trade conflict escalates as U.S. President Donald Trump imposes tariffs on a range of imported products. The electric carmaker warned the U.S. government in a letter this week that any such action could drive up manufacturing costs and make Tesla cars less competitive in international markets.

"When other countries respond to U.S. trade actions, U.S. exporters will naturally be disproportionately affected," Tesla wrote in a letter dated March 11. "The U.S.'s past trade actions have triggered immediate reactions from target countries, including raising tariffs on electric vehicles imported from these countries."

The letter was included in public comments as the Office of the U.S. Trade Representative reportedly assesses whether Washington's trade practices will harm U.S. businesses.