Tesla has recorded a rare sales drop in the first three months of 2024, with the US electric vehicle (EV) specialist reporting its lowest quarterly sales since 2022.
In its first quarterly financial report of 2024, Tesla announced it had produced 433,371 vehicles between January and March – but only delivered 386,810 examples globally.
Despite having recently added the Cybertruck electric pickup to its lineup – joining the existing Model Y and Model X SUVs plus the Model 3 sedan and Model S liftback – Tesla’s worldwide sales were down by 36,065 (or 8.5 per cent) compared to the first quarter of 2023.
It’s also the first time Tesla’s quarterly sales have fallen below 400,000 since July to September 2022, having recently reached a three-month high of 484,507 sales from October to December 2023.
Reuters reports Dan Ives, a respected analyst for Wedbush Securities, called the sales results an “unmitigated disaster”, and a “train wreck into a brick wall quarter” for Tesla.
However, Tesla was able to retake its lead as the world’s best-selling EV brand, after Chinese rival BYD announced it sold 300,114 electric cars in the first quarter of 2024.
While this represented a 13.4 per cent rise compared to the same three months last year, it’s a 43 per cent drop on BYD’s record 526,409 sales, achieved in the final three months of 2023.
The sales drop comes despite price cuts in the US and overseas, amid increasing competition from other EV brands and ‘legacy’ automakers who are slowly making the electric switch.
Tesla’s quarterly sales report was also published only a handful of days after a Reuters article – citing data from a survey conducted by market intelligence firm Caliber – claimed the brand’s CEO, Elon Musk, is negatively affecting public perception of the carmaker.
In Australia, Tesla’s sales were down in the first two months of the year, with 6772 vehicles delivered compared to 6829 in January and February 2023.
However, this slight drop has been largely attributed to shipping delays, after a car carrier with a shipment of Tesla Model Ys and Model 3s was turned back to China for quarantine concerns.
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