June 2024 proved to be a mixed bag for Tesla China, according to the latest data from the China Passenger Car Association (CPCA). The electric vehicle titan's domestic sales hit 59,261 units last month, marking a 7% increase from May's numbers. However, when compared to the same month last year, the figures paint a different story—a sharp 20% decline from June 2023's 74,212 units.
Among the 71,007 vehicles Tesla China sold wholesale in June, 11,746 were exported, translating into a significant 32% month-over-month drop from May's export figures of 17,358 units. Even more striking is the year-over-year story: Tesla's exports have almost halved, plummeting 40% from the 19,468 units shipped out in June 2023. It’s clear that while Tesla is making strides on some fronts, it's hitting roadblocks on others.
Model Y Leads the Pack
The star performer remains the ever-popular Model Y crossover. Of the total wholesale figures, the Model Y alone accounted for 43,951 units. The re-engineered Model 3, although not quite as dominant, still racked up 27,056 sales, including exports, in June 2024. Detailed breakdowns for domestic sales of these models are yet to be disclosed, leaving analysts hungry for more granular data.
CPCA reported 11,746 exports from Giga Shanghai in June. 🇨🇳 pic.twitter.com/biBfSNQF8z
— Roland Pircher (@piloly) July 8, 2024
Quarterly Hiccups
Industry observers, including CNEV Post, note that Tesla China’s performance in the second quarter wasn’t exactly stellar. The company sold 205,747 vehicles wholesale in Q2 2024, a 16.77% year-over-year decline. Quarter-over-quarter, the numbers dipped by 6.85%. For the uninitiated, Tesla delivered 443,956 vehicles globally during the same period, making Tesla China’s contribution around 46% of total sales.
$TSLA 🇨🇳
NEWS: Tesla China's June retail and export data released.It sold 59,261 vehicles in China's domestic market, up 7% from May. However, it was down about 20% from YoY. pic.twitter.com/A3QN6J4gui
For Tesla to meet CEO Elon Musk’s ambitious sales targets, the second half of 2024 will need to see substantial activity. Q1 to Q2 2024 saw Tesla China selling 426,623 vehicles wholesale—a 10.47% year-over-year drop. Globally, Tesla's deliveries for the first half of 2024 reached 830,776 units. For context, Tesla's total vehicle deliveries for FY 2023 were 1,808,561.
Looking Ahead
The data lays out a mountain to climb but does not change the enormous potential that Tesla China holds. As Giga Shanghai continues to ramp up production and refine their models, the latter half of the year could witness a turnaround. Investors and industry watchers alike will be keen to see if these evolving dynamics lead to future growth.
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