Tesla reported its largest-ever drop in deliveries, with sales plummeting 13% in the first three months of the year. The company delivered 336,681 cars, a decline of 50,000 vehicles compared to the same period last year.
The drop is attributed to growing competition and backlash against CEO Elon Musk’s actions, both within the company and outside its showrooms. Protests and vandalism against Tesla facilities, including charging stations, have discouraged potential buyers.
Tesla did not mention the protests in its sales statement but pointed to an update to the Model Y that temporarily halted production at all four factories for several weeks. The decline is a significant blow to the company’s stock price, which has lost 44% of its value since hitting an all-time high in December.
Analysts attribute the drop to Musk’s actions, citing his vocal support for far-right parties in Germany and the UK as contributing factors. Competition from Chinese automaker BYD, which overtook Tesla as the world’s largest EV seller, also poses a challenge.
Despite being the second-largest market for electric vehicles after China, Tesla faces headwinds due to Musk’s high-profile actions and growing competition. The company is poised to lose its title as the world’s largest EV seller in 2025, with BYD expected to surpass it.
Source: https://edition.cnn.com/2025/04/02/business/tesla-sales/index.html