Tesla scored a win in China just as its biggest rival stumbled
In a significant turn of events for Tesla, the electric vehicle (EV) manufacturer has reported a nearly 10% increase in sales in China for November, marking a rare victory over its chief competitor, BYD. According to data from the China Passenger Car Association, Tesla’s sales rose by 9.9% year-over-year, a welcome change for the company that has been grappling with a challenging year across major markets, including a notable sales slump in Europe. This uptick in sales comes as Tesla faces mounting competition in China, a market known for its fierce rivalry among EV manufacturers.
Tesla’s recent success stands in stark contrast to the struggles faced by BYD, which has experienced a decline in sales for three consecutive months. Despite selling over 480,000 EVs and hybrids in November—its highest monthly total this year—BYD’s sales were still down by 5.3% compared to the same period in 2022. The Shenzhen-based automaker, known for its diverse and affordable electric offerings, is currently navigating a renewed price war in China’s competitive EV landscape, compounded by a government crackdown on aggressive discounting practices. Nevertheless, BYD remains on track to potentially surpass Tesla as the world’s largest seller of battery electric vehicles this year, bolstered by a record 131,935 overseas sales in November, which highlights its growing market share outside of China.
While Tesla celebrates this incremental win, it is essential to recognize the broader context of the EV market dynamics. The ongoing competition between Tesla and BYD exemplifies the rapidly evolving landscape of electric mobility, where price strategies and consumer preferences are constantly shifting. As Tesla works to regain its footing in China and counteract its declining sales in Europe, the company must remain vigilant against BYD’s aggressive expansion and innovative approach. With both companies facing unique challenges and opportunities, the race for dominance in the global EV market is far from over, setting the stage for an exciting future in electric transportation.
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Tesla’s Shanghai gigafactory. The company has had a tough year in China.
Xiaolu Chu/Getty Images
Tesla scored a rare win in China, earning bragging rights over its biggest rival in the process.
Elon Musk’s automaker saw its sales rise by nearly 10% in November, while its arch-rival BYD’s fell.
Tesla has had a difficult year, with sales underwhelming in China and collapsing in Europe.
Things are finally looking up for
Tesla in China
.
The US automaker’s sales rose 9.9% in November compared to the same month last year, according to data released by China’s Passenger Car Association on Tuesday.
That’s a rare win for Tesla, which has had a difficult year in almost all of its biggest markets. The company has faced a sales collapse in Europe, been squeezed by
intense competition in EV-friendly China
, and is on track to see its overall sales decline for the second consecutive year.
One bright spot for Tesla: it’s not the only one with problems. The Elon Musk-run automaker’s
biggest Chinese rival, BYD
, has hit some speed bumps in recent months.
The Shenzhen-based EV giant, which has become one of China’s largest carmakers thanks to a range of affordable and high-tech electric models, has had three straight months of sales declines.
BYD said it sold just over 480,000 EVs and hybrids in November, its highest total this year, but still around 5.3% less than the same period in 2024.
The Chinese automaker, which was
once backed by Warren Buffett
, has struggled in the face of a renewed price war in China’s ultra-competitive EV market and a government crackdown on aggressive discounting.
Despite these headwinds, BYD is still on course to take Tesla’s crown as the world’s largest seller of battery EVs this year, and the company is rapidly taking market share from Musk and co. outside China.
BYD’s overseas sales hit a record 131,935 in November. The Chinese auto giant is taking advantage of
Tesla’s woes in Europe
, with BYD outselling its US rival by more than two to one in October.
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Business Insider
Eric
Eric is a seasoned journalist covering Business news.
