automaker

Tesla The Only Automaker Seeing Sales Growth In Germany This Year: Report





© Provided by Benzinga



Tesla Inc (NASDAQ: TSLA) is the only automaker in Germany experiencing growth so far this year, Electrek reported Monday.

What Happened: The Elon Musk-led company is charting ahead of its domestic and foreign rivals in the European country.

Loading...

Load Error

In the period after Sept. 2019, the Palo Alto, California-based automaker registered 9,000 deliveries, an increase of 24% year-over-year.

Data from Electrek indicates that every other automaker in Germany had deliveries shrink in a similar period including giants like Toyota Motor Corporation (NYSE: TM), Bayerische Motoren Werke AG (OTC: BMWYY), and Volkswagen AG (OTC: VWAGY).

The electric vehicle maker enjoyed a record quarter in Germany with 6,114 deliveries, bringing the total for the year to 11,217 vehicles.

Why It Matters: The rise in deliveries comes even as the Germany supply was affected in the second quarter due to the company’s Fremont factory shut down. 

The German market is reportedly a tough nut to crack as consumers like to purchase domestic vehicles, but Tesla’s rapidly-progressing Berlin manufacturing facility has sparked interest in the European nation.

Peter Altmaier, German economy minister, pitched the country’s total support to Musk in getting the Gigafactory up and running when the latter visited Germany last month.

The picture is different in China, another important market for Tesla, where local rivals such as Li Auto Inc (NASDAQ: LI) and Nio Inc (NYSE: NIO) are witnessing robust growth.

Morgan Stanley analyst Adam Jonas said last week that the U.S. automaker faces a total wipeout in China by 2030, as sales may fall to zero there.

Price Action: Tesla shares closed 2.55% higher at $425.88 on Monday and traded 0.82% lower in the after-hours session.

Continue Reading

Source Article