Tesla no longer world’s best-selling electric vehicle

Chinese automaker BYD sold more electric vehicles than Elon Musk’s Tesla in the last quarter of 2023.

Market leader Tesla has been dethroned by its Chinese rival BYD as the world’s most popular electric car maker for the first time after both companies shared their quarterly sales reports.

Tesla announced on Tuesday (January 2nd) it delivered a record 484,500 electric cars in the last quarter. The number was more than expected, but lower than BYD’s, which said a day before it handed over 526,000 battery-only vehicles.

The US-based Tesla still performed better in overall sales for 2023, delivering 1.81 million fully electric cars to its customers compared to BYD’s 1.58 million.

BYD also demonstrated stronger growth, witnessing a substantial 73% increase in fully electric vehicle sales last year as opposed to Tesla’s 38% rise. Additionally, the Chinese company sold 1.44 million hybrids, a 52% increase from the year before.

By contrast, BYD’s sales of electric vehicles were a fraction of Tesla’s just a few years ago. In 2018, it sold just under 98,000 units, while Tesla sold nearly 245,000.

BYD has refocused on the electric vehicle market since then, heavily investing in research and development and expanding its product line-up, as well as adopting robust expansion strategies.

Meanwhile, Tesla suffered from slower demand despite repeated price cuts. It faces increased competition from emerging automakers and legacy car companies accelerating their shift towards electric vehicles.