SAN DIEGO ( Border Report — According to reports from Reuters and the Wall Street Journal, Tesla’s deliveries dropped by 13% globally in the first three months of this year.
The two reports indicate that Tesla CEO Elon Musk along with his political engagements are contributing to the reduced interest in the electric cars produced by his firm.
Tesla's sales in China, which mainly cater to international markets, dropped by 49% in February. However, they performed relatively better in March following the launch of the updated Model Y within the Chinese market, as reported by the China Passenger Car Association.
In Germany, where Tesla has its European plant, new vehicle registrations dropped by 76.3% in February compared to the previous year, as reported by the nation’s Federal Motor Transportation Agency, according to the Wall Street Journal.
In October, Tesla abandoned its plan to construct a manufacturing facility in Mexico, which led to criticism from the Mexican authorities.
Mexico’s leader stated back then, "The Teslas were considered too burdensome or costly for the Mexican market because their most affordable vehicle, the Model 3, was priced around $30,000."
She committed to producing an inexpensive electric vehicle made in Mexico to rival comparable imported cars such as Teslas.
Following that, Tesla's sales in Mexico have been sluggish and have decreased relative to the previous year as well, according to Fortune, a financial magazine headquartered in New York City.
In the U.S. along with multiple European nations, Tesla showrooms have been targeted with vandalism amid protests.
A few weeks ago, a Tesla service center in Las Vegas was attacked with Molotov cocktails, causing significant damage by fire.
The Wall Street Journal reports that certain financial experts believe Musk's closeness to Trump could benefit the CEO's business ventures over time. This advantage might come from federal rules that streamline Tesla's efforts to roll out self-driving cars across the country.
"We believe that Tesla's reduced vehicle deliveries indicate a shift for the company moving away from being just an 'automotive pure play' towards becoming a major player in AI and robotics," wrote Adam Jonas, a Morgan Stanley analyst, on March 20th.
Tesla announced its intention to begin providing self-driving taxi services in June close to its base in Austin, Texas, with intentions to introduce an equivalent service in California before the year concludes.
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