Tesla China’s October 2024 Sales Performance: A Mixed Outcome with Focus on Exports

Tesla China reported a total of 68,280 wholesale vehicle sales in October 2024, with 27,795 units being exported to international markets, according to recent data from the China Passenger Car Association (CPCA).

Domestic Sales Decline from September, But Year-on-Year Growth

Tesla’s domestic sales for October were recorded at 40,485 vehicles, a 41% increase compared to the 28,626 units sold during the same month in 2023. However, there was a significant 44% drop from the 72,200 units sold domestically in September 2024. This dip is noteworthy but not entirely unexpected, as Tesla China often exports a higher proportion of its vehicles early in each quarter, influencing the domestic sales figures.

Despite the drop from September, October's domestic sales are the lowest Tesla China has seen since April 2024. Analysts at Deutsche Bank had previously predicted that Tesla China’s October sales would surpass 47,000 units, but the actual numbers fell short of expectations. This outcome highlights some volatility in the company's domestic performance.

Strong Export Numbers and Overall Growth

On a more positive note, Tesla China has shown robust export activity, with nearly 28,000 vehicles shipped abroad. This aligns with Tesla's strategy of prioritizing exports in the first month of each quarter. The company’s total vehicle sales for the January to October 2024 period amounted to 500,685 units, reflecting an 8% growth compared to the same period last year.

Model Y Continues to Dominate Tesla’s Sales

Among the vehicles sold, the Tesla Model Y remained the company’s top performer. In October, 42,265 Model Y units were sold wholesale, which accounted for 62% of Tesla China's total sales for the month. The Model 3, which continues to be a significant contributor, saw 26,015 units sold, making up 38% of the total sales in October.

Market Share Trends in China’s BEV Sector

In the broader context of China’s battery electric vehicle (BEV) market, Tesla China’s performance showed a slight decline in market share. With 673,000 BEVs sold domestically in October, Tesla’s share of the market stood at 6%. This represents a drop from the 11% market share Tesla held in September 2024, reflecting increased competition and evolving market dynamics in China’s fast-growing electric vehicle sector.

Conclusion

Tesla China’s performance in October 2024 paints a picture of a company still holding strong in the market, particularly with the Model Y’s continued success. While domestic sales saw a drop from the previous month and fell short of analyst expectations, the overall growth in exports and the total sales figure for the year-to-date period remains positive. Moving forward, Tesla’s strategy to balance domestic and export sales will be key to maintaining its momentum in both the Chinese market and beyond.