Jan. 2, 2026, 11:59 a.m. ET
Chinese auto giant BYD surpassed Tesla to become the world’s top electric-vehicle seller in 2025, according to new data released by the two companies.
The Chinese automaker has come a long way since 2011, when Tesla CEO Elon Musk dismissed BYD as a competitor in a Bloomberg TV interview, saying «I don’t think they have a great product» and added its focus should be «making sure they don’t die in China.» More than a decade later, in 2025, BYD outsold Tesla despite its EVs not being available for retail purchase in the United States, while China remains a key market for Tesla.
With global EV sales rising about 28% last year, BYD reported it sold around 2.26 million EVs, fueled in part by growth in Europe where it has been widening its lead over Tesla. Meanwhile, the American automaker’s final quarterly earning report showed its annual sales fell for a second straight year. Tesla deliveries declined to 1.64 million, down from 1.79 million in 2024.
Intensifying competition, the expiration of $7,500 federal tax credits for EV buyers and consumer backlash tied to Musk becoming the face of the Department of Government Efficiency made 2025 a challenging year for Tesla.
Still, Tesla shares rose about 11.4% in 2025, boosting Musk’s wealth. After Tesla published its final quarterly earnings report Jan. 2, its shares had dipped 1.2% by the afternoon, while BYD’s shares had jumped about 5%.
Contributing: Reuters
Reach Rachel Barber at rbarber@usatoday.com and follow her on X @rachelbarber_
