Tesla Inc. new-car registrations fell 24% year-over-year in California in the second quarter, the third time in a row the carmaker’s sales have fallen
…
Tesla Inc. new-car registrations fell 24% year-over-year in California in the second quarter, the third time in a row the carmaker’s sales have fallen in the Golden State, according to a report released Thursday by the California New Car Dealers Association.
Tesla Inc. new-car registrations fell 24% year-over-year in California in the second quarter, the third time in a row the carmaker’s sales have fallen in the Golden State, according to a report released Thursday by the California New Car Dealers Association.
While the Model Y remains the state’s top-selling car, the Elon Musk-led company has seen its market share falter throughout the year. Tesla accounted for 53.4% of California’s battery-electric car market in the first half, down from 64.6% a year ago, the CNCDA report said. Overall Tesla sales in California are down 17% so far this year.
“Tesla’s allure seems to be wearing off, signaling potential trouble for the direct-to-consumer manufacturer,” the trade group’s analysts said.
New EV models have posed a competitive threat to Tesla, which has a relatively older lineup of cars. Ford Motor Co., Hyundai Motor Co. and Rivian Automotive Inc. are all among companies that have grabbed a bigger slice of California’s electric-vehicle market. Overall, battery-powered cars account for about a fifth of auto sales in the state, while California makes up a third of US EV sales.
Musk’s standing in California, the largest EV market in the US and a Democratic Party stronghold, has also taken a hit as he’s openly criticized the state and embraced Republican political figures, including former President Donald Trump. This week, Musk got into a social media dispute with Governor Gavin Newsom over a decision to move the headquarters of both SpaceX and X to Texas from California. The CEO also relocated Tesla’s headquarters to the Lone Star State in 2021.
Tesla is the second-bestselling car brand in California, but CNCDA believes it may have peaked. Earlier this month, the company reported global second-quarter sales that were lower than a year ago, but better than analysts expected.
The company registered 52,211 vehicles in California in the second quarter, up 4.4% from the 50,027 registered in the second quarter. Tesla delivered 443,956 cars globally during the period, meaning the state accounts for roughly 12% of the EV maker’s sales.
This article was generated from an automated news agency feed without modifications to text.
First Published Date: 19 Jul 2024, 02:10 AM IST