Tesla China wholesale sales fall to lowest since February

Tesla sold 67,829 China-made vehicles at wholesale in October, up 10.30 per cent from a year earlier but down 28.88 per cent from September and the lowest monthly level since February, preliminary data from the China Passenger Car Association showed on Tuesday. Wholesale sales include domestic deliveries in China and exports from the Shanghai factory.

The monthly decline ran against a rising market. The CPCA estimated nationwide passenger NEV wholesale sales at 1.8 million units in October, up 12 per cent from a year earlier and 8 per cent from September. Tesla's October growth slightly trailed that annual pace.

Lowest since February

October was Tesla China's second-lowest monthly wholesale level this year, above only February's 58,599 units, according to data compiled by CnEVPost. September had been its year-to-date high.

The sequential slide followed a record quarter. Tesla China's wholesale sales reached 275,111 units in the third quarter, up 13.73 per cent year on year and 8.08 per cent from the previous quarter.

Annual growth slows

Tesla China has recorded year-on-year wholesale growth in all 10 months so far this year. October's increase accelerated to 10.30 per cent from September's 5.01 per cent.

Cumulative wholesale sales for the first 10 months reached 810,889 units, up 21.42 per cent year on year. That was slower than 22.54 per cent growth over the first nine months.

Exports have carried more of the load. In the first nine months, the Shanghai factory exported 361,972 vehicles, up 108.44 per cent, while domestic deliveries fell 11.93 per cent to 381,088. Exports accounted for 48.71 per cent of wholesale sales in that period, up from 28.64 per cent a year earlier.

In September alone, exports rose 58.29 per cent to 30,529 vehicles while domestic deliveries fell 9.35 per cent to 64,837.

What happens next

The preliminary release did not split Tesla's October domestic sales and exports, leaving their contribution to the month unclear. Export growth had previously offset declines in Tesla's domestic deliveries in China.

The October figures put Tesla's year-on-year growth slightly behind the broader passenger NEV market, while its monthly fall contrasted with the market's 8 per cent sequential gain. Tesla's China-made vehicles are produced at the Shanghai plant, which supplies both domestic and export markets.