Tesla has officially surrendered its crown as the world's leading electric vehicle maker, facing a significant sales decline for the second year in a row, with deliveries dropping to 1.64 million in 2025.
Chinese automaker BYD has surged ahead, selling 2.26 million vehicles and solidifying its position as the top seller of battery-electric vehicles globally.
The decline in Tesla's sales has been fueled by multiple factors, including the expiration of federal tax credits for EV buyers and a backlash against CEO Elon Musk's political views.
Growing competition from global manufacturers, particularly in China, has intensified the pressure on Tesla, highlighting the shifting dynamics of the rapidly evolving EV market.
Despite the downturn, investor interest in Tesla remains, with ongoing enthusiasm for its future projects in autonomous driving and robotaxi services.
This pivotal moment signals a dramatic shift in the automotive landscape, with established brands no longer guaranteed dominance as new players ascend rapidly in the electric vehicle arena.