Tesla records its largest-ever quarterly decline in EV deliveries
What's the story
Tesla has reported a major blow to its vehicle deliveries for the second quarter of this year. The company delivered 384,122 vehicles during the period, a steep decline from last year's 443,956 units. This marks a nearly 60,000-unit drop and is Tesla's largest quarterly decline in history. The fall comes after last quarter's dip when Tesla reported first-quarter deliveries of 336,681 units against last year's figure of 386,810.
Market response
Tesla's stock sees slight increase despite overall decline
Despite the significant drop in deliveries, Tesla's stock witnessed a 4.4% increase. The company is still headed for an annual decline due to CEO Elon Musk's controversies, policy changes, and rising competition in the EV market. Notably, Chinese EV giant BYD surpassed Tesla's $97.7 billion annual revenue last year with $107 billion and outsold it in Europe for the first time in April this year.
Public outcry
Backlash after Musk's DOGE leadership
Tesla has been facing public backlash after Musk's 130-day tenure as head of the Department of Government Efficiency (DOGE). His leadership saw massive layoffs and budget cuts for federal agencies, leading to protests outside Tesla dealerships. Musk's political alignment has also led to a decline in sales in key US markets like California. His public fued with President Donald Trump over the "Big Beautiful Bill" has further strained relations.