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Tesla's US Market Share Being Clawed Into By Ford's Mustang Mach-E


03/08/2021


Tesla's US Market Share Being Clawed Into By Ford's Mustang Mach-E
Ford's Mustang Mach-E is apparently eating into the market for electric car maker Tesla in its home market of the United States in the electric car segment.
 
In February, the market share of Tesla in the EV segment in the US dropped from 81 per cent a year ago to 69 per cent, according to analysis from Morgan Stanley.
 
The increased demand for electric cars among US customers is still driving up the share of US sales of Tesla, shows the analysis. According to the analysis, there was a 34 per cent year on year growth in sale of EV in February in the US while there was a drop of 5.4 per cent in the sales of traditional internal combustion engine vehicles.
 
Unlike many other car makers, no break of its sales in the US or any other region is provided by Tesla in its quarterly reports. According to the Morgan Stanley's analysis, it was likely that a 5.4 per cent year on year growth in the sale of its cars in the US was seen by Tesla.
 
The combined US EV sales of traditional automakers more than doubled in February to touch 9,527 vehicles. According to figures from Ford, the car marker’s Mach-E SUV which was awarded the SUV of the year this year and whose deliveries started only in late January, reported sale of 3,739 vehicle sin February.
 
"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.
 
Some of its market share is being lost by Tesla in the EV segment, said other experts.
 
"We've been expecting this for a while," said Michelle Krebs, senior analyst at AutoTrader. "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."
 
Ford said that about 70 per cent of the customers of Mach-E were first timers for the company which makes this model more important and valuable for the company. California, the US state where Tesla is particularly popular, accounted for over 20 per cent of the sale of Mach-E.
 
The luxury Model S sedan and Model X SUV from Tesla is being rivalled by auto companies such as Porsche, BMW, Audi and Jaguar while its lower priced Model 3 sedan and Model Y SUV are facing competition from traditional auto makers including Chevrolet, Hyundai, Kia, Volkswagen, Nissan and Ford.
 
But accounting for more than 90 per cent of its global sales in the fourth quarter of last year, Tesla’s Model 3 and Model Y are the backbone of the revenues of the company.
 
There were no comments available from Tesla on the Morgan Stanley analysis.
 
In terms of global sales of electric vehicles, Tesla has already been overtaken by Volkswagen as the largest seller of electric cars in a number of European markets such as Norway, where the majority of new vehicle sales is that of electric powered ones.
 
(Source:www.cnn.com)


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