Proactive Investors - Tesla Inc (NASDAQ:TSLA) is expected to achieve another record-breaking quarter in China, despite mounting pressure from local competitors, according to analysts, Reuters has reported.
Estimations by Shi Ji, an analyst with China Merchants Bank International Securities, suggest that the electric vehicles maker could sell 155,000 cars in China from April to June, marking a 13% increase from its record first quarter, the report noted.
However, Shi added that Tesla's share in China's battery electric car market would shrink to 13.7% in the second quarter from 16% in the previous three months. During the same period, BYD and Aion, the EV brand of Guangzhou Automobile Group, have gained market share.
Deutsche Bank (ETR:DBKGn) has predicted that Tesla's China sales for the second quarter could reach 153,000 units, while globally the company may sell a total of 448,000 units.
China is Tesla's second-largest market and home to its biggest factory. To boost sales, the company reduced prices for its two aging models earlier this year, sparking a price war with competitors like BYD who offered discounts or launched new lower-priced models.
With its Shanghai plant achieving an annual production capacity of over 1 million units, Tesla is now venturing into new markets in the region, including Thailand and Malaysia, with China-made cars.
Tesla's China sales data will be available from association data in the first week of July, while global sales numbers will be announced over the weekend, Reuters noted.