Tesla is working with French authorities to find out why one of its electric cars burst into flames during a test drive.
The four passengers were able to get out of the Model S 90D unharmed, Tesla said.
The incident happened in the area of Biarritz and Bayonne, in the south west of the country.
It comes about three years after the firm's shares dropped following other fires in its Model S cars.
Footage of the incident was caught on camera by witnesses.
Three people and a Tesla employee were in the car during the fire earlier this week.
According to local media, the driver had signed up for a test drive on Facebook.
He accelerated on one of the town's main roads when a loud sound was heard coming from the car, the newspaper Sud-Ouest reported.
"In less than a minute, the car was in flames and, in five minutes, it was totally destroyed," the driver, named as Nicolas, was quoted as saying.
A Tesla official said: "Nobody was harmed. The vehicle provided warning and passengers were able to safely exit the vehicle."
"We are undertaking a full investigation and will share our findings as soon as possible," the official added.
In 2013, two instances of Tesla cars catching fire were recorded by US federal regulators, according to Agence France-Presse.
In each, the cars hit debris on the road that pierced the chassis and caused a battery fire.
Both cars were gutted by flames, although the drivers in each incident escaped unharmed.
A third case was also reported in Merida, in Mexico.