It has come to light that Tesla, which has so far enjoyed a free run of sorts, has started taking a hit from the advent of new electric vehicles, particularly the Ford Mustang Mach-E. As per a study by Morgan Stanley, Tesla’s share in the EV market of USA has come down to 69% in February, which is a pretty substantial dip from 81% a year ago.
That said, sales numbers of Tesla models are still on a rise, much of which is due to the higher appetite of US car buyers for electric vehicles. Morgan Stanley has made an estimate that the sales of EV have risen by 34% in the US car market last month. On other hand, sales of conventional vehicles have fallen by 5.4%. Tesla only reports its global quarterly sales and not monthly or US-only sales. However, it is being estimated that Tesla has enjoyed a 5.4% gain in US sales last month.
The new electric offerings from Ford and GM have resulted in the total EV sales in the US climbing to 9,527 units last month. Mustang Mach-E, the recipient of the coveted SUV of the year award, accounted for 3,739 units. "Mach-E accounted for nearly 100% of the [Tesla] share loss," said Adam Jonas, Morgan Stanley's auto analyst, in a note earlier this week. Many other opine that Tesla sales are on a downhill due to the launch of other models. "We've been expecting this for a while. Tesla was the only game in town. Now it's not. We expect that Tesla sales will increase as the market increases, but there will also be stealing of Tesla's market share” said Michelle Krebs, senior analyst at AutoTrader.
Ford Motor Company has declined to comment on the latest report from Morgan Stanley However, it has revealed that over 70% of the Mach-E buyers were first-time Ford customers, which simply means that the new EV has a pretty wide appeal. Not only this, but as much as 20% of total sales come from California, a region where Tesla has a pretty strong hold on the EV market.
Meanwhile, Tesla has already been outclassed by Volkswagen EVs in many European markets, including Norway. Moreover, the renowned electric carmaker even faces fresh competition from General Motors’ compact SUV version of the Chevrolet Bolt. The new model will launch this summer and will be priced lesser than the Model 3 and Model Y. The coming years could get even tougher for Tesla as, by 2035, GM plans to sell only zero-emission cars, while Ford plans to sell only electric cars in Europe by 2030.