Business

Tesla saw its sales rise by 36% in the first financial quarter, after two price cuts aimed at boosting demand.

The electric car, SUV and heavy truck manufacturer said it delivered 422,875 vehicles worldwide between January and March – up from just over 310,000 a year ago.

Over the same period it produced 44,808 vehicles – more than it sold – after increasing production at new factories near Austin (Texas), Berlin and Shanghai.

Some 412,180 Model Ys and Model 3s were sold in the quarter – up almost 40% from the 295,324 sold a year ago.

But sales of the Model X large SUV and Model S sedan fell nearly 38% to 10,695.

Tesla cut prices worldwide by as much as 20% in January, and made some further cuts in March.

The 36% rise in vehicle sales falls short of the company’s promise to increase deliveries by about 50% per year for the foreseeable future.

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Early in March, chief executive Elon Musk admitted that affordability remains the “limiting factor” for many would-be Tesla owners.

The top-selling Model Y starts at $54,990 in the US, while the Model 3’s base price is $42,990. A Model S has a starting price of $89,990, while the X starts at $99,990.

Tesla shares have risen more than 68% this year, but they remain more than 50% below their November 2021 peak.

Concerns have been raised in recent months that Mr Musk is spending more time focusing on Twitter – the social media platform he bought in October last year for $44bn.

The company will release its first-quarter financials after the markets close on 19 April.

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