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 factors 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, performance improved 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 the Mexican administration.
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 models such as Teslas.
Following that, Tesla’s sales in Mexico have been sluggish and have decreased compared to the previous year, as reported by Fortune, a financial magazine from New York City.
In the U.S. as well as various European nations, Tesla dealership locations have faced vandalism amid protest activities.
A month 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 enterprises over time, potentially easing federal rules that would facilitate Tesla’s rollout of 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 has announced its intention to begin providing self-driving taxi services in June close to its base in Austin, Texas, with aims to introduce an equivalent service in California before the year concludes.
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