Cox Automotive reported a significant 11.4% year-over-year increase in U.S. electric vehicle (EV) sales for the first quarter, reaching nearly 300,000 units. EVs accounted for approximately 8% of new car sales in the U.S., a slight increase from 2024. Despite challenges, the EV market continues to grow healthily.
Tesla (TSLA, Financial), the largest EV manufacturer in the U.S., saw an 8.6% decline in sales, totaling 128,100 vehicles. Tesla's market share fell to 44% from 51% the previous year. Factors contributing to this decline include aging models, poor Cybertruck sales, increased competition, production line reconfiguration for the new Model Y, and political activities by CEO Elon Musk that led to protests and alienated some buyers.
In Q1, Tesla sold 64,051 Model Y units, a 33.8% decrease, while Model 3 sales surged 70.3% to 52,520 units. Cybertruck sales were 6,406, with Model S and Model X sales at 1,280 and 3,843, respectively. Tesla's global deliveries dropped 13% in Q1.
Other automakers are eager to fill the gap left by Tesla. Chevrolet, under General Motors, saw a 114% increase in EV sales, driven by the Blazer EV and Equinox EV. BMW's EV sales grew 26%, largely due to the i4 and iX models. Toyota's bZ4X SUV sales nearly doubled, and Cadillac's sales rose 37.4%. Ford maintained its position as the second-largest EV brand with 22,550 units sold.
