Tesla's energy storage business gets sucked into the company's downward spiral

Group 1 - Tesla's energy storage business has experienced a decline in deployments for the second consecutive quarter, with 9.6 gigawatt-hours installed in Q2, down from 10.4 gigawatt-hours in Q1 [1] - The energy storage division peaked in Q4 2024 with 11 gigawatt-hours deployed, and a total of 31.4 gigawatt-hours in 2024, indicating a potential end to its consistent year-over-year growth [2] - Revenue from energy storage and solar installations increased significantly from $2 billion in 2020 to $10.1 billion in 2023, but the poor start to 2024 suggests a downturn [2] Group 2 - The broader energy storage market has been growing, with new installations reaching a record high in Q1, increasing by 57% year-over-year [3] - Future growth in the energy storage market may be hindered by tariffs on Chinese-made goods and potential changes to the Inflation Reduction Act being discussed in Congress [3] - New restrictions on parts or materials sourced from foreign entities of concern could complicate the claiming of tax credits for battery storage installations, as most minerals used in batteries are processed in China [4]