In 2011, Tesla CEO Elon Musk dismissed Chinese electric vehicle maker BYD as a competitor. But some 14 years later, BYD beat the American EV pioneer at its own game.

The Chinese automaker BYD sold 2.26 million electric vehicles in 2025, surpassing Tesla as the world's top EV seller.

Tesla lost its crown as the world’s bestselling electric vehicle maker on Friday as a customer revolt over Elon Musk’s right-wing politics, expiring U.S. tax breaks to buyers and stiff overseas competition pushed sales down for a second year in a row.

Tesla ceded its EV crown to BYD in 2025 after a 9% drop in deliveries, ending years of dominance as global competition and expiring U.S. tax credits hit sales.

Tesla deliveries fell by nearly 9 percent last year, amid declining EV sales in the U.S. Tesla hasn’t been spared from the hardships facing the EV industry under the Trump administration—and now one Chinese automaker has stolen Tesla’s crown.