SAN DIEGO ( Border Report — According to reports from Reuters and the Wall Street Journal, Tesla’s deliveries dropped by 13% globally in the first quarter 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 primarily export to international markets, dropped by 49% in February. However, they performed somewhat 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 both the nation’s Motor Transport Authority and the Wall Street Journal.
In October, Tesla abandoned its plans for constructing a manufacturing facility in Mexico, which led to criticism from Mexican officials.
Mexico’s leader mentioned 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 vowed to produce an inexpensive electric car 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. and various European nations, Tesla showrooms have been targeted with vandalism amid demonstrations.
A few weeks ago, a Tesla service center in Las Vegas was attacked with Molotov cocktails.
The Wall Street Journal reports that certain financial experts believe Musk’s closeness to Trump could benefit the CEO’s business ventures over time, particularly via federal rules that streamline Tesla’s process for rolling out self-driving cars across the country.
"As we see it, 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 Morgan Stanley analyst Adam Jonas on March 20th.
Tesla has announced its intention to begin providing autonomous ride-sharing options in June close to its base in Austin, Texas, with expectations to introduce a comparable service in California before the year concludes.
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