Summary
Tesla plans to produce cheaper cars and aims to get approval for its self-driving software in Europe. The company has seen a drop in sales and profits as it faces reduced U.S. government support, competition from Chinese carmakers, and increased tariffs. Tesla shares have fallen, and the company is addressing financial impacts caused by shifting policies and Musk's political activities.
Key Facts
- Tesla is working on more affordable car models, starting "first builds" in June.
- Sales dropped by 12% to $22.4 billion, marking the biggest decline in over a decade.
- Profits fell by 16% to $1.1 billion as car deliveries decreased by 14%.
- U.S. tariffs cost Tesla $300 million from April to June.
- The end of a U.S. tax credit for electric car buyers may negatively impact Tesla.
- Tesla's share price has fallen by about 30% from its peak last year.
- Elon Musk expects European sales to rise once self-driving software is approved there, with the Netherlands likely being the first country to grant approval.
