Tesla reported Q1 delivery numbers yesterday. The total vehicle deliveries for Q1 are 386,810 vs. 457,000 expected. A year ago, the total vehicle deliveries were 422,875 so this is a 8.5% YoY drop and the first YoY decline since 2020. The production numbers also dropped from 440,808 in Q1 2023 to 433,371 in Q1 2024.
In the press release, the company said
Decline in volumes was partially due to the early phase of the production ramp of the updated Model 3 at our Fremont factory and factory shutdowns resulting from shipping diversions caused by the Red Sea conflict and an arson attack at Gigafactory Berlin.
We are going to see more detailed numbers by region from Tesla’s upcoming earnings. But this is a pretty severe miss on delivery estimates. Tesla has had many promotions and price cuts to push their vehicles but they might be running out of tricks to get people to buy. I was pretty pissed to see Tesla drop the Model X price by almost $30,000 just a few months after I purchased it in late 2022. It’s depressing to see the resale value of your car fall dramatically overnight. I wouldn’t be surprised if many potential Tesla buyers choose other car makers due to Tesla’s chaotic pricing strategy.
Here is a bonus AI generated video from this post. I feel the audio is quite unpleasant. I need to create a persona that makes the video more delightful while talking about serious topics.
