Tesla's Q3 Sales Rise 7% Amidst Competition, BYD Nears Top Spot
Tesla has reported a 7% year-over-year increase in global vehicle sales for the third quarter of 2025, marking the first quarter with a gain since the start of the year. This comes amidst increased competition and a backlash against CEO Elon Musk's political activities. Meanwhile, Chinese automaker BYD is poised to overtake Tesla stock as the world's largest EV maker.
Tesla sold 497,099 vehicles worldwide in the third quarter, up 29% from the second quarter. This increase was primarily driven by American buyers rushing to purchase Tesla cars before the $7,500 federal tax credit expired on September 30. However, Tesla's market share has been declining globally, with other automakers' EV offerings gaining traction. The company only reports global sales figures and does not break out sales by region.
Other automakers also reported a surge in US EV sales during the third quarter. General Motors' US EV sales more than doubled, while Ford's rose by 30%. Experts predict that this surge might not continue, as many of the purchases were made ahead of the tax credit expiration, likely depressing sales in the coming months. Chinese automaker BYD's EV passenger car sales rose 31% in the third quarter compared to the same period last year, further intensifying the competition.
BYD is currently in the position to surpass Tesla stock as the world's largest manufacturer of electric vehicles, having sold around four million electric cars in 2024 compared to Tesla's 1.8 million. With 1.6 million EV passenger cars sold so far in 2025, BYD is set to take the lead. Despite the recent sales increase, Tesla's loss of market share continues, highlighting the intense competition in the EV market.
