Tesla dumped by Europe’s largest pension fund. But it surpasses Audi | EUROtoday

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Tesla nonetheless within the highlight, for very completely different causes: one monetary and the opposite industrial. Europe’s largest pension fund, the Dutch Stichting Pensioenfonds ABP, has bought its complete 571 million euro stake in Tesla, citing Elon Musk’s controversial monster pay bundle as one of many major causes. Meanwhile, the electrical automotive producer (and most capitalized on the planet with 1,300 billion {dollars}) has overtaken Audi in gross sales for the primary time. The Four Rings model (a part of the Volkswagen Group) recorded a 12% decline in world gross sales in 2024, to 1.67 million automobiles, marking a major step again from Tesla, which delivered 1.79 million of automobiles in the identical interval.

The pension fund’s determination

The Dutch pension fund ABP (public staff, belongings of over 600 billion euros), identified for its weight within the subject of accountable investments, introduced that it had bought Tesla shares within the third quarter of 2024. The causes embody the disagreement with Elon Musk’s file remuneration, thought of “exceptionally high and controversial”. Musk’s compensation bundle, initially valued at $2.6 billion after which elevated to $56 billion, was nonetheless annulled for a second time on December 3 by a Delaware choose regardless of shareholder assist. The courtroom dominated that the compensation bundle approval course of was tainted by conflicts of curiosity, as Musk has important affect over the board’s choices relating to his compensation. ABP nonetheless underlined the necessity to respect accountable funding standards, additionally highlighting the problematic working situations at Tesla as a decisive issue.

Audi: a really advanced yr

On the European entrance, Audi confronted a difficult yr, with gross sales falling to 1.67 million automobiles, putting it behind Tesla for the primary time. The German firm has struggled to compete in each Europe and China, the place demand for luxurious automobiles stays weak and native producers are gaining floor within the premium section. Additionally, gross sales of Audi’s electrical fashions fell by 8%, with round 164,000 items delivered.

Among the components which have had a unfavourable affect are the discount of incentives for the acquisition of electrical automobiles in Europe (significantly in Germany) and a weaker Chinese marketplace for automobiles with inner combustion engines and far more troublesome because of the robust competitors relating to to electrical automobiles. In response, Audi and different German automakers are decreasing manufacturing: Volkswagen has already introduced cuts in manufacturing capability, and Audi has determined to shut the Brussels web site, the place the Q8 e-tron electrical SUV was produced, because of inadequate demand .

Tesla: development regardless of difficulties

Despite the primary annual decline in deliveries in additional than a decade, Tesla continued to solidify its place as a pacesetter in electrical automobiles. Model Y, one of many best-selling SUVs on the planet (world high in 2023), lately noticed the launch of the 2025 restyling in China to strengthen gross sales. Tesla’s speedy growth technique lately has allowed it to capitalize on the missteps of conventional rivals. The comparability between Tesla and Audi highlights the profound transformations which might be redefining the way forward for mobility: between innovation, sustainability and new market challenges, with the overwhelming advance of Chinese gamers within the foreground.