Tesla has reported a 13% decline in vehicle sales for the first quarter of the year, delivering 336,681 cars, the lowest count since the second quarter of 2022. Analysts had projected Tesla would achieve sales exceeding 390,000 vehicles and trucks based on compiled estimates.

The drop in sales has been attributed to various operational challenges, including the company’s ongoing transition in its production lines to accommodate the redesigned Model Y. Such adaptations typically result in a temporary decline in output as manufacturers shift from one vehicle generation to another.

However, an extraordinary factor contributing to this downturn has been CEO Elon Musk's involvement in global politics, which has reportedly sparked protests in both the United States and Europe.

In recent weeks, protests intensified in response to Musk's public appearances and his support for far-right candidates and policies.

Musk's actions included leading initiatives to reduce the federal workforce during the Trump administration and attempting to influence Germany’s federal elections, along with suggesting that the United States withdraw from NATO.

Tesla's stock experienced a decline of up to 6% at the start of trading on Wall Street, reflecting a significant drop of 44% since it reached its all-time high shortly after the 2016 presidential election.

In China, Tesla's deliveries from its Shanghai factory have decreased for six consecutive months, further impacting global sales performance.

The latest data show that shipments from the Shanghai facility fell by over 11% year-on-year in March, totaling 78,828 vehicles.

This figure includes both domestic sales within China and exports, indicating Tesla's ongoing struggle to maintain its market share in a highly competitive electric vehicle sector.