Tesla reported an increase in quarterly sales for the first time this year, driven by consumer interest in expiring federal tax credits for electric vehicle purchases. The company produced 447,450 vehicles between July and September of this year, including 435,826 Model 3 and Model Y vehicles, along with 11,624 from other models such as the Model S, Model X, and Cybertruck. This marks a 5 percent decrease in production compared to the third quarter of 2024, which saw the production of 469,796 vehicles.
In terms of deliveries, Tesla reported a total of 497,099 vehicles delivered, with 481,166 being Model 3 and Model Y vehicles. This figure represents a 7.4 percent increase compared to the 462,890 vehicles delivered in the same quarter of the previous year. This rise in deliveries is significant for Tesla, as deliveries serve as a proxy for sales given its direct-to-consumer model. The timing of the sales align with the expiration of the $7,500 federal EV tax credit on September 30, which many anticipated would positively impact sales.
Despite the positive sales momentum in the U.S., Tesla’s performance in international markets has been underwhelming, with a reported 37 percent decline in sales in Europe year-to-date compared to the previous year. In China, competing domestic manufacturers like BYD and Geely have reportedly contributed to Tesla’s struggles.
Looking ahead, experts warn of potential declines in EV sales in the U.S. following the expiration of the tax credit, with CEO Elon Musk acknowledging that the company may face “a few rough quarters.” Musk remains optimistic about future developments, such as AI initiatives, including robotaxis and humanoid robots, with projections of significant advancements by 2025. Meanwhile, a proposed compensation package for Musk could make him the world’s first trillionaire, contingent upon meeting ambitious production and valuation goals. Tesla is scheduled to hold a shareholder meeting on November 6 to discuss this proposal.
Source: https://www.theverge.com/news/790046/tesla-q3-2025-sales-production-delivery