Tesla's global sales have declined for the second consecutive quarter, and annual sales are likely to shrink again
Tesla's global sales declined for the second consecutive quarter, with a 13.5% drop in the second quarter, delivering 384,122 vehicles, down from 443,956 vehicles in the same period last year. Despite facing economic uncertainty and competitive pressure, Tesla's stock price still rose by 4.5%. Analysts believe that Tesla needs to deliver over 1 million vehicles in the second half of the year to avoid another annual sales decline
Reuters, July 2 - Tesla (TSLA.O) has seen a decline in global sales for the second consecutive quarter, and this year's sales are likely to shrink again, hampered by CEO Musk's right-wing political stance and aging models that deter some buyers.
Tesla needs to deliver over 1 million cars in the typically strong second half of the year to avoid another annual sales decline—some analysts believe this task may become quite challenging due to economic uncertainty caused by tariffs and the threat of the gradual elimination of electric vehicle incentives under the Trump tax plan.
Tesla stated on Wednesday that its sales volume in the second quarter fell by 13.5%, below analysts' expectations, even though Musk indicated in April that sales had turned a corner.
Nevertheless, the company's stock price rose by 4.5%, as the decline was not as severe as the most pessimistic expectations from analysts, partly due to a mild recovery in demand in the fiercely competitive Chinese market.
In the second quarter ending June 30, Tesla delivered 384,122 vehicles, down from 443,956 vehicles in the same period last year. However, this still represents a 14% increase compared to the first quarter.
Tesla ended an 8-month sales decline in China in June, indicating that despite fierce competition from Chinese rivals like BYD (002594.SZ), the revamped Model Y crossover SUV has attracted some buyers