Elon Musk gets the ‘hurt’ from his efforts this year to rip the ass out of the US Government……….
U.S. sales have fallen further from their 2023 peak, and Elon Musk has already told investors to brace for a ‘few rough quarters’
Tesla is dealing with sales declines in the U.S., and in much of the rest of the world as well.
Tesla is on track for its worst U.S. sales performance since 2022, and that’s not the only region where the electric-vehicle maker is under pressure.
The Austin, Texas-based company is projected to sell 125,937 electric vehicles in the U.S. between October and December, according to estimates from industry research firm Cox Automotive. That would make for a decline of more than 22% relative to a year before, when Tesla (TSLA) sold 162,388 units.
It would also bring the total number of EVs that Tesla delivered in the U.S. this year to 577,097, an 8.9% drop versus 2024. Tesla’s share of the overall U.S. automotive market is expected to have declined by half a percentage point, to 3.5%, according to the Cox estimates.
Part of that relates to an industrywide issue that’s forcing dramatic changes across the landscape. Dampening demand for EVs has prompted Ford Motor (F) to cancel its plans for several models, while General Motors (GM) is laying off some workers.
The federal government recently rolled back fuel-economy rules that encouraged selling more eco-friendly vehicles, and the U.S. ended a tax credit that previously incentivized EV purchases.
In November, the average price of a new EV was $58,638, a 3.7% increase compared to a year earlier, but slightly down from October, according to Kelley Blue Book. The value of incentives, or the discounts and deals companies use to lower prices, rose 20% last month when compared to October.
The industry is set to sell roughly 230,000 EVs in the U.S. during the December quarter, down from 364,000 during the same time in 2024, according to Cox’s estimates. Sales volumes are expected to continue to fall over the next few quarters, as the industry and consumers adjust to the lack of the $7,500 EV tax credit.
CEO Elon Musk acknowledged as much on an earnings call in July, saying Tesla could have a “few rough quarters” as a result.
Tesla’s problems don’t stop at home. It’s also facing headwinds in China and Europe….
image….NBC News
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