Tesla’s stock (TSLA) has gained back some after slipping last Friday seemingly on good sales numbers coming from China.
But is it enough to compensate for the rest of the world?
Tesla’s stock was up 5% today before settling at 3% after the China Passenger Car Association reported that Tesla sold 86,697 China-made electric vehicles last month.
That represents a significant 17% month-over-month increase and a 3% year-over-year increase.
However, that includes all Tesla vehicles produced in China, including those sold in the country and those exported to other markets.
If we look at the data for the vehicles sold in China, it adds up to 63,456 EVs, which is up significantly from last month but down year-over-year.
China is Tesla’s most important market, but it has been mostly flat so far this year. CEO Elon Musk said that Tesla is producing vehicles at max capacity at Gigafactory Shanghai, which is a good sign if true as they have been a lot of reports about Tesla throttling production capacity at its important factory.
But in order to sell its electric vehicles in China, Tesla has been subsidizing interest rates down to 0%.
The automaker first introduced 0% loans in China earlier this year to boost sales, but it brought it back this quarter.
While sales appear to be roughly back to where they were last year in China, Tesla is still down overall in deliveries compared to last year.
According to the latest registration data coming out of Europe, Tesla is down about 80,000 sales in Europe so far this year:
According to data from Kelley Blue Book, Tesla was down about 6% in the US market last quarter. That also despises cutting down interest rates on financing in the market – albeit not as much as in China.
Electrek’s Take
There’s no way to cut it in a positive way: Tesla’s EV sales are down this year, a first in a decade, and the chance of a recovery in the second half of the year is recovery is getting slimmer by the day.
There’s still some hope. In the US and Canada, Tesla’s recently reintroduced referral program virtually introduced a new $1,000 price cut on all models, which should give a sale boost for the end of the quarter.
Maybe the Cybertruck starts to make a bigger difference in Q4 with the production ramp and cheaper non-foundation series?
But will it be enough to compensate for recovering but flat sales in China and sales way down in Europe? I doubt it. What do you think? Let us know in the comment section below.
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