Tesla defies expectations with major rebound in international sales: 'The ramp of the New Model Y continues to go well'

Tesla China experienced a dramatic sales rebound in March, with wholesale numbers reaching 78,828 vehicles — marking a 156% month-over-month increase from February's 30,688 units, according to Teslarati.

This significant jump follows several weeks of reduced production during the rollout of the revamped Model Y electric crossover, based on recent data from the China Passenger Car Association.

Despite the impressive monthly growth, Tesla's March figures still represent an 11.49% year-over-year decrease compared to March 2024. The company's first-quarter results totaled 172,754 vehicles wholesale, down 21.79% from the same period last year, largely due to production adjustments required for the new Model Y launch across all four Tesla factories, per Teslarati.

Further, Tesla is experiencing some of the worst sales and stock drops the company has seen, as concerns about CEO Elon Musk's political activity have turned some electric vehicle buyers away from the brand. And Tesla is reportedly scrambling to deal with the U.S.-China tariff war that is leading to massive price hikes on many of its vehicles in China, with Carscoops saying the automaker has pulled U.S.-built models over a 125% tariff that makes them "nearly impossible to sell."

Overall, though, the sales recovery signals good news for consumers still interested in Tesla's vehicles and EVs in general, as stronger production numbers typically lead to increased availability and potentially more competitive pricing.

The popularity of the new Model Y, which became China's best-selling vehicle in March with 43,370 units sold, per Teslarati, demonstrates consumer confidence in Tesla's refreshed lineup.

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"While the changeover of Model Y lines across all four of our factories led to the loss of several weeks of production in Q1, the ramp of the New Model Y continues to go well," Tesla noted in its recent report, via Teslarati, showing optimism about the vehicle's momentum since beginning domestic deliveries in late February.

Tesla's continued growth in China follows other recent news about the company's domestic expansion of its Supercharger network, the introduction of more affordable models, and improvements in battery technology that extend the range of its EVs. These developments can collectively help reduce carbon pollution by making electric vehicles more practical and accessible to a wider audience.

Despite the brand's recent challenges, each new Tesla on the road replaces a traditional internal combustion engine vehicle, preventing tons of planet-warming pollution over its lifetime and helping reduce air pollution in densely populated urban areas.

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