Why is Elon Musk's Tesla recalling more than 1.6 million cars in China? Read here

Tesla is recalling 1.68 million cars in China for a remote software upgrade to ensure that they warn the driver when the trunk is not locked shut, China's market regulator said.

The announcement late Tuesday also said that vehicles with faulty trunk latches will be repaired free of charge. The recalls affect some imported Model S and Model X vehicles and domestically made Model 3 and Model Y cars manufactured between Oct. 15, 2020 and July 17, 2024.

The recall notice said that an unlocked trunk lid could open during driving, interfering with the driver's vision. It did not say whether that had ever happened to any Tesla cars. The U.S.-based electric vehicle maker will fix the problem through a remote software upgrade, the State Administration for Market Regulation said.

China is a major market and production base for Tesla while also a source of growing competition from Chinese EV makers. The company reported a sharp decline in second-quarter net income last month, as sales fell despite price cuts and low-interest financing.