Tesla sales plunge again amid anti-Musk sentiment and rising competition

Share via: Tesla is facing the heat of a slowdown in sales owing to Musk’s association with Donald Trump and increasing competition from rival brands. …Read More Tesla is facing the heat of a slowdown in sales owing to Musk’s association with Donald Trump and increasing competition from rival brands. Get Launch Updates on Notify me EV sales of Tesla have plunged again amid the anti-Elon Musk sentiment and increasing competition from rivals. In the last three months (April-June), sales of Tesla electric cars dropped sharply as boycotts over Elon Musk’s political views continue to keep buyers away. In the first quarter of this financial year, global sales of Tesla cars fell to 384,122 units, down from 443,956 units registered in the same period a year ago. However, sales of the Tesla Model 3 and Model Y totalled 373,728, above the estimate of 356,000 from Wall Street analysts, which was encouraging for the brand. The 13 per cent plunge in Tesla’s global sales over a year earlier suggests the damage to the EV maker’s brand from Musk’s embrace of US President Donald Trump and far-right European politicians is much deeper, widespread and lasting than some investors had expected, reported news agency AP. It further reported that the figures recorded by Tesla in the last quarter also signal that its quarterly earnings report due later this month could disappoint as rival electric vehicle makers pounce on its weakness and steal its market share. However, the report also stated that, as during the latest period, Musk formally left the Trump administration, sales would recover. The Tesla CEO himself recently said the company was in the midst of a major rebound in sales. However, his statement was contradicted by the latest figures. Meanwhile, Musk has promised that a cheaper electric car is in the works, which would be coming this year. Upon arrival, this cheaper electric car from the brand is expected to boost the company’s sales numbers. The latest sales numbers come as Tesla is focusing less on new car models and more on robots, self-driving technology and robotaxis ferrying passengers around without any driver interference. Meanwhile, Tesla is facing increasing competition from rivals, especially Chinese auto OEMs like BYD. The competition from rival EV makers is especially fierce in Europe, where China’s BYD has taken a bite out of its market share. Tesla sales fell 28 per cent in May in 30 European countries, even as the overall market for electric vehicles expanded sharply, revealed the European Automobile Manufacturers’ Association. Get insights into Upcoming Cars In India, Electric Vehicles, Upcoming Bikes in India and cutting-edge technology transforming the automotive landscape. First Published Date: 03 Jul 2025, 07:50 AM IST
Source: hindustantimes.com