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Tesla new car registrations decline after reduced tax credits to consumers

Registrations for Tesla Inc.'s new vehicles dropped significantly from January to February, The New York Times reported March 22, citing data from the Dominion Cross-Sell Report.

According to Dominion Cross-Sell report, which uses registration data compiled from motor vehicle records from 23 states, only 6,252 Teslas were registered in February. The states include Tesla's main markets of California, Texas, Florida and Washington. That compares to 23,310 vehicles registered in January and a monthly average of 13,000 to 17,000 registrations in the fourth quarter of 2018, according to the report.

According to the Times report, a Tesla spokesman said a single month of vehicle registrations does not necessarily reflect the company’s delivery figures. The spokesman said registrations in individual states can fluctuate significantly from month to month because Tesla delivers batches of cars to different areas at different times, the paper reported.

Analysts associate the decline in sales to the phasing out of the federal tax credit available to consumers to consumers buying electric vehicles, according to the report.