Tesla Motors Hits Sales Higher Than Forecast in Q1

By Jenia Cane, | April 04, 2017

Tesla sold 25,000 units in China January to March this year.

Tesla sold 25,000 units in China January to March this year.

Tesla Motors has exceeded its sales target for the first quarter of this year. However, there are talks that it needs the help of a Chinese firm to keep its performance afloat.

The American automaker reported on Sunday that it was able to sell 25,000 units from January to March, higher than what car analysts have projected. This is half of its first-semester sales target.

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Of the said sales, 13,450 were Model S, while 11,550 were the bigger Model X.  This means that Tesla Motors has "bounced back by 69 percent," compared to its performance during the same period last year. 

In the meantime, as the California-based company seems to be keen about enjoying a good market in China, it reportedly continuously needs the help of Tencent Holdings Ltd. To recall, the latter has poured in up to $8 billion into the former's investment in China.

This is important for Tesla Motors to embark on "future prospects." Meanwhile, this would reportedly give the other investors the confidence "despite the carmaker's ugly balance sheet."

With China being the world's biggest car market, Tesla's investment would reportedly be of big help, especially since the Chinese government "isn't about to cede its auto industry to foreign entrepreneurs."

"By partnering with Tencent-which will get a five percent ownership stake in the deal-Tesla seems to finally be accepting that fact," Bloomberg noted.

Last year, Tesla Motors only recorded around 7,500 units in sales in China. This is way below General Motors' sales of 3.8 million.

With this development, Tesla Motors founder and chief executive officer Elon Musk is reportedly considering Tencent Holdings Ltd as an "adviser," apart from being an investor. 

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