Tesla’s 2025 Electric Vehicle Deliveries Decline
Tesla’s electric vehicle deliveries fell 8.5% in 2025, totaling approximately 1.63 million units, marking its largest year-over-year decline in history. In contrast, Chinese automaker BYD surpassed Tesla, selling around 2.26 million battery EVs, thus becoming the world’s leading EV seller for the first time.
The drop in deliveries was influenced by the rise of lower-cost competitors, as well as the expiration of the $7,500 U.S. federal EV tax credit in September 2025. Despite the challenges, Tesla’s stock remains highly valued, trading at 201 times its projected earnings, a figure significantly higher than companies like Nvidia and Amazon.
