Elon Musk recognizes a difficult period for Tesla, but not for the reasons you think

With global sales down 13 % in the second quarter of 2025 (Yoy), Tesla’s financial results were expected to continue to disappoint.

Unsurprisingly, the manufacturer accuses a turnover down 12 % (yoy) to $ 22.50 billion. Net profit fell by 16 % (yoy) to $ 1.17 billion. However, this remains better than in the first quarter of 2025, during which Tesla had recorded only $ 19.33 billion in turnover and $ 409 million in net profit.

Recall that the first half of the year was marked by the restyling of the Tesla Model Y, the most popular model of the brand, some versions of which have been temporarily unavailable. Sales of the electric SUV only reached their 2024 level in June (source: source: Because Industry Analysis).

But the disappointing sales of Tesla for several months cannot be attributed only to the restyling of Model Y. Besides, the other models of the range are affected and in particular the Cybertruck pick-up, of which Tesla hoped a great potential in North America, but which struggles to seduce beyond its initial craze.

Many factors mentioned, but not the Elonphant in the room

For Elon Musk, the drop in sales of Tesla is explained in particular by the new tax policy of the Trump administration, which he now opposes. Besides, it could have consequences on the next quarters of Tesla. “It is difficult to measure the repercussions of changes in world trade and tax policies on automotive and energy supply chains”explains the brand. “Although we made prudent investments that will allow our automotive and energy activities to grow, real results will depend on various factors, including the general macroeconomic environment, the rate of acceleration of our autonomy efforts and the increase in production in our factories.”

Tesla’s boycott by many detractors of Elon Musk, who has certainly played an important role in lower sales of the brand in certain markets, including Europe, is obviously not mentioned. Tesla also disregards the aging of its range, while competition, especially Chinese, is precisely more and more fierce.

For Elon Musk, demand for Tesla products is not weakening. “There is a big desire for customers for the Tesla Model Y, but people do not have the money necessary for the bank to buy it. So we need a more affordable version”he explains. An explanation that is surprising, but it is true that an electric vehicle more affordable than Model 3 and Model could significantly increase the sales of Tesla.

Precisely, Elon Musk announced that the first copies of his next entry -level electric car were released from the assembly channels in June, before a production in large series during the second half of the year. Recall that the entry -level Tesla project was completely overhauled, following the controversial decision of Elon Musk to prioritize autonomous driving, and that the model should ultimately derive from Model 3 and Model Y. The price reduction it will then allow moderate, with rumors that estimate the price of this new model at $ 35,000, or $ 7,500 less than a Model Y.