Tesla sees EV deliveries drop year-over-year for the first time since 2020
Shipments plummeted by 20 percent from the previous quarter.
Tesla has revealed how many vehicles it delivered in the first three months of 2024 and the figures dropped significantly from both the previous quarter and the same period in 2023. The company handed over 386,810 EVs during the period.
That's down 20 percent from the 484,507 vehicles Tesla delivered in Q4 2023 and an eight percent dip year-over-year. This was Tesla's first YoY sales drop since 2020, Bloomberg points out. The figures also fell well short of projections — on average, analysts expected Tesla to deliver 449,080 EVs.
There are some mitigating factors at play, as TechCrunch notes. Tesla had to close its factory in Germany for almost a week due to an arson attack. It also put most production at the Berlin-area facility on hold for a fortnight due to shipping disruptions resulting from Houthi attacks on international shipping in the Red Sea. Tesla also pointed to an early production ramp up of the revised Model 3 as another reason for the drop in deliveries.
Tesla says it built 412,376 Model 3 and Y vehicles in the first three months of 2024 and 20,995 other models for a total of 433,371. Of the deliveries, 369,783 were Model 3s and Model Ys. The company didn't detail the number of Cybertrucks it built and delivered.
As is often the case, Tesla tried a few tactics to juice sales at the end of the quarter, such as once again offering a free trial of Full Self-Driving (which, despite the name, is not an autonomous driving system). The company also hinted to prospective buyers who'd been on the fence that they should snap up one of its EVs before a price increase on April 1. Sure enough, on Monday, the company jacked up the price of every Model Y trim by $1,000 in the US.
Earlier this year, Tesla CEO Elon Musk warned that the company was between "two major growth waves" — the boom of the Model 3 and Y, and a lower-cost EV that's expected to arrive in late 2025. As such, he warned investors that Tesla was likely to see "notably lower" sales growth this year.
