New Vehicle Registrations in the EU Continue to Decline, Impacting Company’s Yearly Target
Tesla Inc.’s new vehicle registrations in the European Union are continuing to decline, threatening the company’s global EV delivery target for the year. According to data from the European Automobile Manufacturers’ Association (ACEA), Tesla had 18,786 new vehicle registrations in the European Union in November, marking a drop of 41% from the corresponding period last year.
What Happened
- Tesla’s new vehicle registrations in the EU dropped 41% to 18,786 units in November.
- Battery electric vehicle registrations overall fell 9.5% in the EU last month to 130,757 units, due to declines in major markets such as France and Germany.
- Tesla had 211,405 new vehicle registrations in the EU from January through the end of November, marking a drop of over 15% year-on-year.
The Impact on Q4 EV Delivery Goals
For the full year 2023, Tesla delivered 1,808,581 vehicles around the globe. To mark a growth over last year, the company has to deliver at least 514,926 vehicles in the three months through the end of December. This is an ambitious target, as Tesla has never managed to deliver over 500,000 EVs in a quarter to date.
Expert Insights
According to Tesla researcher Troy Teslike, the low sales in Europe are likely to impact Tesla’s aim to prevent a drop in yearly deliveries. “While sales have increased in China, they aren’t enough to fully offset the decline,” Teslike said in a post earlier this month. “Tesla is still trying to avoid a drop in total car sales this year compared to last year, but they’re struggling with demand problems in the US and Europe.”
Price Action
Tesla stock fell 8.3% on Wednesday to close at $440.13. Year-to-date, the stock is up 77.2%.