Tesla’s EV Sales Dip for First Time in 10 Years, Still Leads Global Market
Staff Editor Tesla Maintains EV Market Lead Despite Sales Decline
Tesla, the world’s largest electric vehicle (EV) manufacturer, has reported its first annual sales decline in over a decade. The company sold 1.79 million cars in 2024, a 1% decrease from the 1.81 million units sold in 2023. This announcement led to an 8% drop in Tesla’s share price.
Despite the setback, Tesla continues to hold its position as the global leader in EV production. However, Chinese competitors are rapidly closing the gap, with BYD reporting a 12% increase in sales, delivering 1.76 million battery electric cars in 2024.
Other Chinese EV makers also experienced significant growth. Nio delivered 221,970 vehicles, marking a 38.7% increase from 2023, while Xpeng saw a 34% rise in deliveries, reaching 190,068 vehicles.
In response to the growing competition, Tesla has engaged in aggressive pricing strategies, particularly in the Chinese market. The company has also offered incentives such as free Supercharging and access to its Full Self Driving (Supervised) beta software in the United States.
Tesla CEO Elon Musk has acknowledged the competitive threat posed by Chinese automakers, suggesting that they could potentially dominate the global market if trade barriers are not established.
The evolving landscape of the electric vehicle market highlights the intensifying competition between Tesla and its Chinese rivals. As the industry continues to grow, the battle for market share is expected to intensify further.
Tesla, BYD, Nio, and Xpeng did not provide comments on the current market situation.
