Tesla Germany faced a decline in sales during the first quarter of 2025, with 4,935 units sold compared to previous periods. The German road traffic agency KBA reported a 42.5% drop in Tesla’s March sales in Germany, with only 2,229 units sold year-over-year. This sharp decline continued throughout the first quarter, with a 62.2% decrease from 2024. Interestingly, there was a 35.3% increase in newly registered electric vehicles in March, indicating a contrasting market trend.
In contrast to the slump in Germany, Tesla’s global quarterly deliveries reached 336,681 vehicles in Q1 2025, slightly lower than the previous year’s 369,783 deliveries. Factors contributing to this dip were attributed to increased competition, factory retooling for the new Model Y, and some backlash related to CEO Elon Musk’s political activities. German Economy Minister Robert Habeck commented on the situation, suggesting that the automotive industry in Germany could benefit from Tesla’s recent challenges.
Despite the decline in Germany, Tesla experienced a significant 156.87% increase in sales in China during March. The company sold 78,828 units in the Chinese market, with the introduction of the new Model Y contributing to this growth. Globally, Tesla produced 362,615 vehicles in Q1, with a focus on Model 3 and Model Y units. However, production faced delays due to upgrades at various factories in Texas, Fremont, Shanghai, and Berlin.
Tesla highlighted in its Q1 delivery report that Model Y refresh production is ramping up, indicating potential growth opportunities in the future. While challenges lie ahead for the company, Tesla’s strong foundations and global presence position it well for long-term stability. The fluctuating sales figures in different regions demonstrate the dynamic nature of the electric vehicle market, with Tesla continuing to adapt and innovate to maintain its competitive edge.