March 28 Reuters Tesla is expected to report sluggish firstquarter deliveries next week as the boost from its price cuts wanes and the U.S. automaker grapples with strong competition for buyers in a slowing electricvehicle market.

After years of rapid sales growth that helped turn it into the world39;s most valuable automaker, Tesla is bracing for a slowdown in 2024.

The company has been slow to refresh its aging models at a time high interest rates have sapped consumer appetite for bigticket items and rivals in China, the world39;s largest auto market, are rolling out cheap models.

Tesla may be witnessing pricecut fatigue with consumers and may be testing profitability levels that the company may not find acceptable, Morgan Stanley analyst Adam Jonas said in a report to clients earlier this month.

Such conditions may not significantly improve nearterm given the age of Tesla39;s product lineup.

The dour expectations have sent Tesla39;s shares down nearly 28 so far this year, making them the worst performer in the SP 500 index.

Tesla is expected to deliver 458,500 vehicles in the quarter to March 31, according to 17 analysts polled by Visible Alpha.

That is higher than the 422,875 units it handed over in the same quarter last year, but would mark a decline of more than 5 from the previous three months.

Since late 2022, Musk aggressively cut Tesla prices at the expense of margins, helping boost sales but frustrating many of its customers who have seen the value of…