Tesla has experienced an 11% decline in US vehicle registrations for January, dropping to 43,411 units compared to the same period last year. Despite maintaining a leading 42.5% share of the US electric vehicle (EV) market, this figure represents a 12-percentage-point drop from the prior year, as reported by S&P Global Mobility. Total EV registrations across the US rose 14% in January, highlighting increasing competition from automakers like Ford and Chevrolet, which saw respective EV sales growth of 14% and 36%.
On a global scale, Tesla has faced setbacks in key markets, including a 45% sales drop in Europe in January and a 49% plunge in China during February. Industry analysts suggest that growing competition and reputational challenges may be contributing to the brand’s difficulties.
Among Tesla’s product lineup, registrations of the popular Model Y fell 26% in January, partly due to product updates at its factories. However, the Model 3 saw a 19% increase, supported by the release of an updated version early last year. Sales for the premium Model X and Model S vehicles declined sharply, while the Cybertruck registered lower-than-average performance. While Tesla’s recent stock movements reflect investor uncertainty, some analysts see potential upside driven by advancements in autonomous technology and robotics. Key developments, such as plans for Robotaxi testing and updates on Tesla’s Optimus robot program, are expected to play a significant role in the company’s future trajectory.