Chinese automaker BYD has surpassed Elon Musk’s Tesla to become the world’s largest electric vehicle (EV) seller, marking the first time the Chinese brand has beaten its US rival in yearly sales, according to BBC News.
Tesla reported a nearly 9% decline in global car sales in 2025, delivering around 1.64 million vehicles worldwide. This was the second year in a row that Tesla experienced a drop in vehicle deliveries.
These numbers placed Tesla behind BYD, which revealed on Thursday that sales of its battery-electric vehicles surged by almost 28% last year, exceeding 2.25 million units sold globally.
According to BBC reports, Tesla experienced a 16% decline in vehicle sales in the final quarter of 2025. This decrease was partly caused by the removal of a government incentive, which had previously reduced prices by up to $7,500 (£5,570) on selected battery-electric, plug-in hybrid, and fuel-cell vehicles.
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Government EV subsidy removal
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