Canstar NZ, a consumer research firm, says declining Tesla sales in New Zealand have little to do with the polarising views of its chief executive, Elon Musk. The fall is more likely down to domestic political change, and new technologies. Or even age-old dilemmas like choosing the colour, says its editorial manager.
An Australian analyst recently said that, compared with last year, 2025 Tesla sales have slumped globally, including by one-third in Australia. The analyst claimed much of it is due to Elon Musk’s “extraordinary” actions.
Not so says Canstar New Zealand’s editorial manager, Bruce Pitchers, speaking with RNZ. He said Tesla’s most popular car, the Model Y, saw an 80 percent drop in 2024 sales locally versus 2023.
He also said that sales of every make and model of electric vehicle (EV) plummeted last year. And, despite the drop, Teslas remain the most popular.
“The sales of Tesla were down well before his well-publicised bromance with Trump” said Pitchers.
“He’s always been a polarising figure but is that going to put you off buying a car?”
That said, some Kiwis do seem to have issues with Elon Musk.
A photo of a vandalised Tesla sign in Wellington clocked up more than 37,000 likes on Instagram recently.
Politics could be applied to most car-buying decisions, Pitchers explained.
“When you look at other electric car brands, particularly those coming out of China, the accusations of swamping the market, particularly in Europe, with subsidised cars” affected EV sales.
In New Zealand EVs were suddenly a hard sell after the coalition government brought an end to the clean car discount. At the same time, it instituted road user charges, a double whammy.
Another reason EV sales are down globally is that new hybrid cars are challenging the EV’s crown.
“They are now far more popular and offer fuel consumption savings that are almost comparable to EVs”, for PHEVs at least.
“I really don’t think people spending a lot of money on a Tesla are going to be thinking about the Tesla share price and the fact that it’s making Elon richer.”
“A lot of [car buyers] are much more worried about the colour, or the connectivity with their phones.”
