Part 7/11:
Recent data points to a broader downturn affecting the entire automotive market. Tesla’s sales figures, released via its direct-to-consumer sales model, serve as an early indicator of a possible industry-wide slowdown. Other automakers, such as Stellantis, Ford, and GM, have reported decreases in dealer allocations and sales—signals that consumers are cautious and discretionary spending is decreasing.
This downturn is driven by multiple factors:
Economic uncertainty: consumers are tightening their budgets.
Affordability issues: EVs remain expensive despite decreasing battery costs.
Supply chain adjustments: automakers have rapidly scaled up, leading to excess inventory, which dealers are trying to clear.