Tesla sold 69,129 China-made electric vehicles in January, up 9.3 per cent from a year-ago period, extending gains for a third consecutive month even as the electric vehicle maker battles shrinking market share in both China and Europe.
Deliveries of Model 3 and Model Y vehicles made at its Shanghai plant, including exports to Europe and other markets, slid 28.9 per cent from December levels, data from the China Passenger Car Association showed on Wednesday.
Tesla grappled with declining sales throughout last year in major European markets, where intensifying competition from notably BYD has added to the headwinds faced by Elon Musk’s EV brand.
Demand has also been dented by a consumer backlash in the bloc following Musk’s public political campaigning.
In China, Tesla’s share of the fiercely competitive EV market slipped to 8 per cent last year from 10 per cent in 2024, even as December sales hit a record 93,843 units.
The company rolled out a seven-year, low-interest financing plan for Model 3 and Model Y buyers in China in January, prompting several domestic rivals, including Li Auto, Xiaomi and Xpeng, to introduce similar financing incentives.
Musk expects Europe and China to approve its driver-supervised Full Self-Driving system as early as this month, as Tesla looks to increase software revenue amid a slowdown in its core EV business.
BYD, which is Tesla’s biggest Chinese competitor, reported a 30 per cent decline in global sales in January, as a revised government scheme of subsidising auto trade-ins weighed on budget car brands.>
