Tesla's China-made EV sales dip in September; BYD gains ground
A Tesla model 3 car is seen in their showroom
U.S. electric vehicle (EV) giant Tesla faced a 10.9 per cent year-on-year decrease in sales volume for its China-made EVs in September, according to data from the China Passenger Car Association (CPCA) released on Sunday. This decline in sales comes as Chinese rival BYD sees impressive growth in passenger vehicle deliveries, underscoring the competitive landscape in the Chinese EV market.
Tesla sold 74,073 China-made EVs in September, reflecting a notable dip compared to the same month last year. Sales of China-made Model 3 and Model Y cars specifically saw a 12.0 per cent decrease from the previous month.
In contrast, BYD, known for its Dynasty and Ocean series of EVs and petrol-electric hybrid models, experienced a surge in passenger vehicle deliveries, growing by 42.8 per cent to reach 286,903 in September, up from 200,973 in the same month last year.
Both Tesla and its Chinese competitors are now preparing for a potential rebound in consumer sentiment. This optimism is fuelled by more significant discounts and tax incentives for green vehicles, combined with signs of economic stabilisation in China.
Tesla recently missed market estimates for its third-quarter global deliveries due to planned upgrades at its factories, which temporarily halted production. The automaker typically focuses on domestic deliveries at the end of each quarter while shipping more China-made cars for export at the beginning.
In a bid to entice consumers, Tesla unveiled a revamped Model 3 in September, sporting a starting price of 259,900 yuan in China, representing a 12 per cent increase from its previous version. Deliveries are set to commence in the fourth quarter.
Meanwhile, Chinese competitor Xpeng introduced a redesigned G9 SUV with a price tag starting from 263,900 yuan, marking a 15 per cent reduction compared to its previous offering.
Tesla, renowned as the largest exporter of China-made EVs, is currently facing a European Commission probe into subsidies for battery-powered cars from China. This investigation includes other Chinese automakers like Renault.
Despite the recent sales decline, Tesla delivered a record 247,217 China-made vehicles in the second quarter, underscoring its continued significance in the global EV market.
(With inputs from Reuters)
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