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News  ›  Benzinga

Tesla Loses Electric Vehicle Crown To China's BYD After Second Year Of Declining Sales

Benzinga Logo Benzinga By Mohd Haider
Tesla Loses Electric Vehicle Crown To China's BYD After Second Year Of Declining Sales

Tesla has lost its position as the world's leading EV maker to China's BYD after reporting a second consecutive year of declining sales. Tesla's fully electric vehicle deliveries dropped 9% to 1.64 million units in 2025, while BYD surged 28% to 2.26 million vehicles, driven by aggressive international expansion and affordable EV offerings. Tesla's recovery efforts with refreshed models have fallen short amid intensifying competition from Chinese automakers and reduced government incentives.

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TSLA   negative

Tesla lost its market leadership position to BYD, reported a second consecutive year of declining sales (9% drop), and faces mounting pressure from competition, reduced government incentives, and regulatory challenges. Recovery efforts have fallen short.