Particle.news

Download on the App Store

Tesla Reports 13% Drop in Q1 Deliveries as Challenges Mount

Production issues, intensifying competition, and backlash over Elon Musk's political ties contribute to Tesla's declining sales and stock performance.

Tesla-Werk in Grünheide
Image
Image

Overview

  • Tesla delivered 336,681 vehicles globally in Q1 2025, a 13% year-over-year decline, with significant losses in Europe and China.
  • Production fell 16% during the quarter, attributed to a Model Y upgrade that temporarily halted manufacturing.
  • Elon Musk's political alignment with Donald Trump and far-right European parties has led to protests, boycotts, and reputational damage for Tesla.
  • Tesla faces growing competition in the electric vehicle market, particularly in China, where rivals are advancing technologically.
  • Following the release of weaker-than-expected Q1 results, Tesla's stock dropped over 4% in pre-market trading, reflecting investor concerns.