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california, usa: tesla's most important market also saw a decline in sales

2024-09-19

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tesla's sales and market share have continued to decline since 2024. this trend has also appeared in california, the united states, which is considered a hot spot for tesla, which is known for its preferential treatment of environmentally friendly cars such as electric vehicles.

tesla buyers in silicon valley, where wealthy people live, in particular, have purchased vehicles driven by tesla's brand innovation image, technological advancement and environmental friendliness. however, experts point out that the recent emergence of competitors and ceo elon musk's extreme right political tendencies have had a negative impact on tesla purchases, which may deepen in the future.

california was once tesla's most important sales region. the region was tesla's home stage, making musk the world's richest man and accelerating the global electrification process. but now musk is criticized for destroying the brand he built.

s&p mobility data shows that from january to july this year, in santa clara county, the heart of silicon valley, tesla's new car registrations fell 22%, while competitors grew 41%. tesla's alternative ev vehicles have been very popular recently. across the united states, non-tesla electric vehicle sales grew 33% in the first half of this year alone.

shockingly, sales of tesla's main vehicles, such as the model 3 and model y, have been on a downward trend. on the contrary, cybertruck production has increased significantly, becoming the best-selling electric pickup truck in the united states.

mario natarelli, managing partner of brand agency mblm, said: "it is clear that the tesla brand has suffered due to musk's sudden political behavior. tesla was once the leader in the electric vehicle market, but now people are ashamed to drive teslas and sell them at second-hand prices because of their association with musk."

musk donates $45 million a month to a pro-trump super pac. a survey of about 1,200 respondents showed that most of them were sensitive to "the social and political stance of a company" and believed that the likelihood of boycotting the company's products based on the political leanings of its leader was "slightly higher."

the study also showed that "democrats are twice as interested in purchasing electric vehicles as republicans." but as of july, favorable views of tesla were at 18% among democratic-leaning american adults, a record low.

in california, tesla still leads the ev market with a 56% market share in the january-july 2024 period. but that's down 64% from the same period last year. cox automotive predicts that tesla's share of the u.s. market will drop to 49.7% in the second quarter of this year from 59.3% last year.

tesla's sales in the us market are still high, which is true. but recently, tesla's market share has begun to decline. tesla's response to the growth of its competitors and the risks of elon musk's behavior style has attracted much attention.