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Tesla's Troubles Down Under: Vandalism and Weak Sales Hit Hard

Wesley ParkWednesday, Mar 12, 2025 2:58 am ET
4min read

Ladies and gentlemen, buckle up! We're diving into the electrifying world of tesla, and it's not all sunshine and rainbows down under. In Australia and New Zealand, Tesla is facing a perfect storm of vandalism, weak sales, and fierce competition. Let's break it down!



First things first, the numbers don't lie. Tesla's sales in Australia dropped by a whopping 16.9% in 2024. That's right, folks! The once-dominant EV king is feeling the heat. But why the sudden slump? Let's dive in!

1. Vandalism and Political Controversies: Elon Musk's political actions have sparked controversy, and it's hurting Tesla's brand. Surveys show a 26% fall in the value of the Tesla brand, and 59% of potential buyers in the UK are deterred by Musk's behavior. This is a MAJOR red flag, folks!

2. Increased Competition from Chinese EV Makers: Chinese brands like BYD and MG are stealing the show. In 2024, 77% of all EVs sold in Australia were sourced from China. BYD sold 14,260 vehicles, a 14.6% year-on-year increase, and MG Motors recorded 8,239 sales, up 39% from the previous year. The MG4 even became one of the best-selling EVs in Australia, with 6,934 units sold. This is a wake-up call for Tesla!

3. Expiry of State Rebates and Incentives: The expiry of state rebates has also impacted Tesla's sales. In Australia, the expiry of state rebates is cited as one of the factors contributing to the 16.9% decline in Tesla's sales in 2024. This trend is not unique to Australia; many regions worldwide have seen a slowdown in EV sales due to the phasing out of government incentives.

4. Supply Chain Issues: Tesla's supply chain woes are real. The company has been struggling with shipping and other issues, which has led to a sharp decline in sales. In January 2025, Tesla's overall EV sales fell 33.24% to just 739 units. The Model 3, despite the release of the "refreshed" Highland option, slumped 62% to just 274 units. This is a disaster, folks!

So, what can Tesla do to turn things around? Here are some strategies:

1. Address Political Controversies: Tesla needs to distance itself from controversial political actions to avoid further damage to its brand image.

2. Improve Supply Chain Management: Tesla can work on improving its supply chain and logistics to ensure timely delivery of vehicles.

3. Innovate and Diversify Product Offerings: Introducing new models or updating existing ones can help Tesla stay competitive. For example, the updated 2025 Tesla Model Y ‘Juniper’ is due to arrive in May, which could help boost sales.

4. Enhance Customer Experience: Tesla can focus on improving the overall customer experience, including after-sales service and support, to build customer loyalty and attract new buyers.

5. Strategic Pricing: Tesla can consider strategic pricing to remain competitive in the market. For instance, price cuts of up to $9,500 were implemented, but further adjustments might be necessary to counter the competition from brands like BYD and MG.

6. Expand Charging Infrastructure: Investing in and expanding the charging infrastructure can make EV ownership more convenient and attractive to potential buyers.

TSLA Interval Closing Price
Name
Date
Interval Closing Price(USD)
TeslaTSLA
20220311-20250311
230.58


In conclusion, Tesla is facing a tough battle down under. But with the right strategies, the company can turn things around and regain its competitive edge. Stay tuned, folks! The EV revolution is far from over.
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