Written by Cláudio Afonso | LinkedIn | X
Tesla delivered 336,700 vehicles in the first quarter of the year while producing 362,615, the company announced on Wednesday morning.
Deliveries fell 12.9% year over year while production dropped 16% as the company transitioned to the refreshed Model Y across four of its factories in the first weeks of the year.
Immediately after the results, Tesla shares are trading 3.5% lower at $259 during Wednesday’s pre-market session as the company posted its lowest quarter results since 2022.
Europe Sales in Q1
In Europe, sales fell across several markets in the first three months of the year. In the Netherlands, sales dropped to 3,443 vehicles in the first quarter, nearly half of the 6,842 vehicles registered in the first three months of 2024. In Italy, sales fell about 6.50% in the first quarter of the year.
Official figures released also on Tuesday showed that Tesla’s sales fell by 36.8% in France in March, with 3,157 vehicles sold. In Sweden, sales dropped 63.9% year-over-year to 1,929 units.
New, Cheaper Model
Tesla is planning to start producing a lower-cost version of its best-selling Model Y in Shanghai next year, Reuters reported last month citing three people familiar with the matter.
The U.S. electric vehicle maker is developing the model under a project codenamed “E41” and will build it using existing production lines, according to the report.
New Incentives in China
Tesla started on Monday rolling out new financing incentives in China for its refreshed Model Y, offering a three-year zero-interest loan option across the entire lineup for the first time.
The limited-time promotion runs through April 30 and also includes a five-year ultra-low interest loan alternative.
Monthly payments for the Model Y start at about 3,809 yuan ($525) while the rear-wheel-drive and long-range all-wheel-drive variants of the Model 3 are now available with a five-year zero-interest financing option.
The company sold 78,828 China-made electric vehicles in March, an 11.5% decline compared to the same month last year, according to data released earlier this Wednesday by the China Passenger Car Association (CPCA).
However, deliveries of China-made Model 3 and Model Y vehicles surged 157% sequentially.
