Tesla sales fall for the first time in more than a decade while China’s BYD rises

Tesla cars may be on the rise, but sales are not. Elon Musk’s car company released its annual sales figures for 2024, revealing that it delivered 1.79 million cars, just shy of the 1.8 million cars the company shipped in 2023. It’s the first time in more than a decade that the company has seen a decline in car sales Despite that. Discounted pricesparticle Noise-driven eventsand Wider availability of Cybertruck.

This year’s low sales figures, which fell short of analysts’ estimates, come despite a mad rush to make up for lost time in the fourth quarter. From October to December, Tesla delivered 495,570 vehicles, a number driven in part by the company. Offer any incentive possible Find to entice potential car buyers. Want 0% financing? I got it. Three months of free access to “full self-driving” and supercharging? finished. Extremely cheap leases? certainly. However, sales are now down Inventory is running lowalso.

Typically, when you know you’re going to miss investor cues, you try to temper your expectations for the future until you can build back up. But Musk has already laid the groundwork for exponential growth. Last October, Tesla’s CEO told investors that he expected sales to increase by By up to 30% in 2025.

It would be fair to describe this claim as questionable, especially given that the company did not meet its sales targets in a year when market conditions are far more favorable than they soon will be. Donald Trump, a friend of Musk’s, seems ready for it Eliminate the tax break on electric cars under Bidenwhich was He is credited with driving electric car sales Over the past few years. Even places that intend to preserve credit to incentivize car buyers to switch to electric vehicles, such as California, are now considering it Excluding Teslas from eligibility.

Globally, the market is about to get more complex for Tesla to compete in as well. While the company achieved a record number of car sales in China last monthIt also gets its lunch on the world stage from the Chinese company BYD. Company It sold 4.25 million cars this year and now threatens to overtake Tesla as the most popular electric car in China.

There doesn’t seem to be a clear savior in sight for Tesla either. The Cybertruck remains the company’s most recognizable vehicle thanks to its futuristic-in-the-garbage vibe, but the company has shipped it Less than 50,000 units In 2024 it seems Truck demand flattens or declines.

Maybe Trump’s plan Easing federal regulations on self-driving vehicles “It will lead to a massive race on Tesla’s promise.”Electronic taxi“, a two-seater self-driving car (which may actually be It is controlled remotely by humans) which Musk claims will cost less than $30,000 and will be on the roads within two to three years. But due to the company Challenges of increasing production In any case, it would be difficult to imagine that it could meet the demand even if it offered the opportunity to change the sales scheme.