Tesla sees first quarterly decline in deliveries since 2020

Tesla results show that it has recorded its first quarterly decline in deliveries since 2020, when the coronavirus pandemic erupted.

The US company led by tech billionaire Elon Musk delivered 386,810 of its electric cars to customers between January and March, according to its own figures.

In the same quarter of the previous year the figure was almost 423,000. Analysts had expected an average increase to just over 449,000 deliveries in the first quarter of 2024.

Tesla shares, which have already weakened this year, fell by more than 5% in early US trading on Tuesday.

Tesla has recently had to temporarily suspend production at its German factory at Grünheide near Berlin, initially due to supply bottlenecks for components caused by the diversion of ships following attacks by Yemeni Huthi rebels in the Red Sea, and then as a result of an arson attack on the plant's power supply.

Meanwhile, production at the company's large plant in California was switched to a newer version of the best-selling Model 3. A total of 433,371 vehicles were built, Tesla said on Tuesday. In the same quarter of the previous year, the figure was 440,808.

Although Tesla deliveries have increased significantly in recent years, there are doubts about the pace of growth. US car buyers have increasingly turned to combustion and hybrid vehicles, while in China Tesla is facing more competition from domestic manufacturers.