In 2023, the Tesla Model Y became the first electric vehicle to top global sales rankings. Even skeptics recognized it then: Elon Musk (for the first time?) did not exaggerate. His words that the Model Y would become the most popular car on the planet really came true. But, as they say, nothing lasts forever under the moon. And now the palm has been taken over by another car. Albeit by a small margin.
Why did Tesla lose ground?
Model Y has been at the top of the sales ranking since the first quarter of 2023. But 2024 brought problems. Musk began to actively get involved in politics, including supporting anti-electric vehicle forces in the United States. It looked strange, if not absurd. Imagine: the head of a company that sells electric cars gives hundreds of millions to those trying to destroy this market. In addition, the strange «congratulations from the heart» and support for radical movements were not understood by European consumers. This political activity not only damaged Tesla’s reputation in the United States, but also caused a wave of outrage in Europe and other regions. Massive accusations of sympathizing with the far right and his controversial statements also did not help sales.
Add to this the fact that Tesla was in no hurry to update its electric vehicle lineup. There have been no significant changes over the past few years. And those that the company offered were more cosmetic than radical.
All this led to the first quarters of declining sales in a long time. This has never happened to Tesla before.
A new leader
According to JATO Dynamics data for 2024, the Toyota RAV4 was able to significantly increase sales and push the Tesla Model Y off the top spot. Although the lead is very modest — about 3000 cars or 0.16%. In other words, the difference is minimal, but the champion has been officially changed.
The RAV4 was still on the market in its old version, but even it showed record results, which is quite rare before a model update. By the way, Toyota has already announced a generation change: in 2026, this model will become a hybrid or plug-in hybrid, and the gasoline version will be removed.
Model Y was also being prepared for an update. We knew about it at the end of 2024, and it was officially confirmed on January 9, 2025. And, in all likelihood, some buyers decided to wait for new version. This could also affect the final figures.
It would seem that in 2025, Model Y could return to the top. But no — the year started even worse. Musk shocked the world with gestures similar to Nazi salutes and subsequent statements that caused a wave of protests. Even those who had previously supported Tesla began to turn away. The company was losing customers in many countries. Sales in the second quarter of 2025 fell quite significantly. Although the exact figures for the Model Y are not disclosed, given that it is the brand’s flagship, the situation is not good.
It seems that Tesla will not regain its throne in 2025. But its achievement will remain in history: the first electric car to become the most popular car on the planet.
Source: electrek
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