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3w ago

Tesla Faces Prolonged Sales Decline Across China, Europe, and Australia

April marks the seventh consecutive month of shrinking deliveries as Tesla grapples with intensifying competition and brand challenges.

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Tesla Model Y electric vehicles on a production line at the company's factory and headquarters in Austin. Austin-based Tesla launched a more affordable version of its Model Y vehicle in the US this week. 
A Tesla Model Y. As with many new vehicles, the Model Y can receive software updates, including those for recalls, wirelessly. Austin-based Tesla launched a more affordable version of its Model Y vehicle in the US this week. 
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Overview

  • Tesla's Shanghai Gigafactory delivered 58,459 vehicles in April, reflecting a 6% year-on-year decline and a 25.8% drop from March.
  • Weekly registrations in China fell 29% in late April, underscoring weaker domestic demand despite Tesla's emphasis on local production messaging.
  • Sales in Europe plummeted, with year-on-year declines of up to 81% in key markets like Sweden, France, and the UK, driven by competition and brand backlash.
  • Australian deliveries dropped 76% in April compared to the previous year, though test-drive interest in the updated Model Y reached record levels.
  • Tesla plans to introduce a lower-cost Model Y variant by 2026 in China to counter market share losses to domestic competitors like BYD and Xpeng.