On July 2, Tesla announced that its global sales in the second quarter of this year reached 384,122 units, down 13% from 443,956 units in the same period last year, and has declined for the second consecutive quarter. This phenomenon is primarily attributed to delays in the launch of the company’s more affordable models, the controversy over its CEO Elon Musk’s political stance, and a significant decline in its sales in the US market.
Model 3; Image credit: Tesla
Among them, in the second quarter of this year, Tesla Model 3 sedan and Model Y crossover delivered a total of 373,728 units worldwide, while Model S sedan, Model X crossover and Cybertruck pickup truck delivered a total of 10,394 units worldwide. However, Tesla did not break down sales data by model or region.
According to Cox Automotive’s estimates, Tesla’s Q2 deliveries in the U.S. market were 130,168 units, down 21% year-on-year; In contrast, the US Q2 is lightweight overallCar salesIt is expected to increase by 6.8% year-on-year to about 4.2 million units.
At the same time, Tesla’s global sales in the second quarter of this yearyield410,244 units, basically the same as 410,831 units in the same period last year. It is reported that Tesla has assembly plants in California, Texas, Germany and China.
Although Tesla’s second-quarter deliveries fell short of analysts’ expectations, its stock price rose about 3% in early trading on July 2. The company’s stock price fell 5.3% on July 1.
Wedbush Securities analyst Dan Ives said the company’s global deliveries in the second quarter were better than Wall Street’s concerns as Tesla’s flagship models Model 3 and Model Y performed better than expected.
Tesla said in its April earnings report that plans for new models, including more affordable models, are still on schedule and are expected to begin production in the first half of 2025. However, as of July 1, Tesla has not disclosed any new models. Analysts point out that the aging of the model and the lack of more affordable models are dragging down the brand.
Tesla’s latest model, the Cybertruck, was launched in November 2023. According to the latest data from research firm S&P Global Mobility, the uniquely shaped pickup truck is still a niche product, with 8,806 registered units in the United States between January and April 2025. It is reported that the Cybertruck is produced in Texas and is exclusively for the US market.
Among Tesla’s existing models, the Model Y was launched in 2020, the Model 3 was launched in 2017, and the Model X and Model S were launched in 2015 and 2012 respectively. However, none of these four models have undergone a complete facelift and are still in the first generation of products. Although Tesla has made minor updates to the Model 3, Model Y, Model X and Model S over the past 18 months, analysts believe these changes are too minor to significantly boost consumer demand.
In 2024, Tesla unveiled a two-door model designed for autonomous driving, the Cybercab, scheduled to go into production in 2026, marking Tesla’s beginning of Tesla’s entry into the self-driving taxi market. On June 22, Tesla launched a pilot program for its self-driving taxi service in Austin, Texas, using about 12 Model Ys.
Musk’s political stance also has a negative impact on the Tesla brand. The survey shows that Musk alienated left-leaning people by supporting US President Donald Trump in the US presidential election on November 5 last yearElectric vehicleBuyers. In addition, Musk previously joined the Trump administration as the head of the controversial government efficiency department.
However, in June of this year,causeTrump’s budget proposes to cut tax incentives for electric vehicles.Musk and Trump have an argument, and the two sides have attacked each other on social media, a move that could lead to Musk losing the support of Trump supporters. Musk has also expressed support for right-wing parties in Europe, which has led to a significant decline in Tesla’s sales in Europe. In the Chinese market, Tesla is facing fierce competition and price wars from local brands.
“Tesla’s biggest sales decline may come from Europe again, where we believe the brand has been the most damaged and competition is intensifying,” Deutsche Bank said in a research report on June 30. “Deutsche Bank previously expected Tesla to launch a new affordable model at the end of June this year, unofficially known as Model Q.” But the launch of this model has apparently been delayed, and Tesla’s sales may not benefit from it until the fourth quarter of this year. ”
