Tesla is losing a tailwind. While it beat analyst’s forecasts quarter after quarter, the growth was halted during Q3 of 2023, ending its dominant streak. With 435 059 cars delivered, the company shifted 31 081 cars less than the previous quarter. Tesla points to its remanufacturing procedure as an explanation.

We had grown accustomed to Tesla beating its own records report after report. Still, results from the last quarter did not only grind that evolution to a halt but also undercut the expectations from Wall Street, with analysts already taking into account a delivery drop but still drawing a bottom line at 440 000.

BYD and Nio soar

The drop from its previous all-time high, 466 140 cars during Q2 of 2023, represents 6,6%. It’s nothing too dramatic, but it contrasts the stellar performance from competitor EV makers like BYD and Nio.

The rampant growth of the first puts the Chinese brand almost alongside Tesla, with 431 603 cars delivered during the third quarter. With 15 641 units, Nio shifted a lot less in volume, but the performance still makes for a record and a surge of more than 75% in a year-on-year comparison.

Tesla’s news on the decline isn’t a thunder in a clear sky. By word of its CEO, Elon Musk, the brand had warned the market of factory downtimes leading to lower output and subsequent deliveries. These shutdowns are attributed to preparation for the facelifted Model 3 Highland, while the plant in Texas is gearing up to start assembly of the long-awaited Cybertruck. Affected production slipped from 479 900 in Q2 to 430 488 during Q3.

Annual target in place

Nonetheless, the stock market confirmed its confidence in Tesla’s goals. After an initial tumble, the shares went up as investors held on to the company’s affirmation of its annual volume target for 2023, aiming at a production of 1,8 million units.

The American EV maker isn’t resting on its laurels. Adding to the price war it started late last year, the company on Monday launched its cheapest Model Y in the key US market to date.

This RWD version starts at $43 990 (€41 990). As it is eligible for a tax incentive, that price plummets further to $36 490 (€34 831). The cheap price might be attributed to using a less costly LFP battery pack.