Tesla‘s deliveries faced a significant decline, with Q1 2025 sales falling 13% year-over-year, followed by a 13.4% decrease in Q2, totaling 384,122 vehicles. This marked Tesla’s worst quarter for deliveries in over two years, falling short of Wall Street’s expectations of 390,000 units and the forecast of 420,000 units. The decline is attributed to demand issues rather than production problems, as there were no reported factory shutdowns.
In contrast, other manufacturers like General Motors and BYD Co Ltd are performing well. GM reported 46,280 EV deliveries in Q2, more than double from a year earlier, reaching a 13% share of the U.S. EV market. BYD outpaced Tesla with 606,993 battery electric vehicles sold in Q2, up 42.5% year-over-year. Tesla’s production levels have risen, resulting in a surplus inventory increase of 50,000-60,000 vehicles in the first half of 2025, raising concerns about the future outlook for the company, which may see another year of declining sales.
