Tesla (NASDAQ:TSLA) has made its second price cut in China within three days, raising worries about a potential price battle in the country’s profitable electric vehicle (EV) market.

The Elon Musk-led EV giant lowered the price of its Model X sport utility vehicles and Model S sedans in inventory by as much as CNY 70,000 (CNY 1 = $0.1371), a statement on the company’s WeChat account read.

Shares in Tesla slipped in premarket U.S. trading on Wednesday.

Tesla made significant price cuts of CNY 14,000 for its Model Y long-range and performance editions in China on Monday. This has sparked renewed concerns that competitors in the largest global auto market might feel compelled to adopt similar strategies.

Tesla has been trying hard to do well in the tough Chinese market. But in July, the number of cars they sent there decreased by 31%, reaching the lowest point this year. Also, they might make fewer cars worldwide in the coming months.

Evercore ISI analysts predicted in a research note that comparable targeted price reductions might be seen in the U.S. and Europe.

In a recent discussion with analysts, Musk indicated that his company will keep lowering prices as it has been doing this year. He’s willing to do this even if it affects the company’s profits. He believes that Tesla cars’ value will increase once they perfect their autonomous driving program.