Afshar, who served as Tesla's vice president of manufacturing and operations for North America and Europe, was fired in late June after Tesla recorded its fifth consecutive month of sales declines in Europe12. The departure of Musk's trusted lieutenant, often described as his "fixer," marks another high-profile exit from the company's executive ranks32.

According to the Bloomberg report, Tom Zhu, currently Tesla's Senior Vice President of Automotive, will oversee sales in Asia4. The restructuring puts Tesla's most senior leadership directly in charge of its struggling regional operations.

Tesla faces mounting challenges across multiple markets. In Europe, June sales plummeted by more than 60% in Sweden and Denmark, while U.S. sales have also declined12. Analysts forecast Tesla's second-quarter global deliveries will drop 11% year-over-year, following a 13% decline in the first quarter31.

The sales slump coincides with increased competition from Chinese automakers offering lower-priced alternatives and what some industry observers characterize as reputational challenges tied to Musk's political activities45.

Afshar's exit follows a wave of executive departures over the past 14 months, including chief battery engineer Drew Baglino and supercharging division head Rebecca Tinucci12. The leadership churn comes as Tesla shifts focus from traditional vehicle production toward artificial intelligence and autonomous driving technology.

The company launched its robotaxi service in Austin on June 22, with Afshar celebrating the milestone on social media just days before his departure13. His exit occurred shortly after the launch, leading to speculation about whether the timing was planned or tied to Tesla's sales performance3.

The leadership changes underscore the pressure Tesla faces to revitalize growth while navigating an increasingly competitive electric vehicle landscape and internal strategic transitions.