Tesla's New Car Registrations Decline in U.S. Market

TapTechNews May 28th, in the increasingly competitive U.S. electric vehicle market, Tesla's new car registrations have declined for the second consecutive month. According to the latest data from S&P Global Mobility, although the overall sales of electric vehicles in the U.S. increased slightly by 3.8% in March, Tesla's new car registrations decreased by 12%.

It is known to TapTechNews that Tesla has dominated the U.S. electric vehicle market for many years and once occupied 80% of the share in 2020. However, with the increase of competitors, Tesla's market share is shrinking. Data shows that its market share in the new U.S. electric vehicle market has dropped from 61.5% in March 2023 to 52.4% in the same period this year. Although the decline in February was even larger, reaching 25%, the consecutive two-month decline trend is still worthy of attention.

However, Tesla's dominant position has not been shaken for the time being, and the entire U.S. electric vehicle market has not panicked due to its sales decline. Overall, the U.S. electric vehicle market is still growing. Although the new car registrations in March only increased by 3.8% (reaching 96,385 vehicles), the sales from brands other than Tesla increased by 28%.

So, who is eating into Tesla's market share? Ford Motors is still behind Tesla (8,418 vehicles vs. 50,474 vehicles), but its electric vehicle registrations have tripled compared to the same period last year. This growth is mainly due to the popularity of the Mustang Mach-E model, whose registrations increased by 4 times in March, and the F-150 Lightning pickup has also become the best-selling electric truck in the U.S.

Hyundai and Kia have also achieved strong growth, and their electric vehicle registrations have both doubled. The sales of Hyundai's IONIQ 5 have increased by 53%, and Kia's newly launched EV9 has also contributed to its sales increase. In addition, BMW's new i5 and Mercedes-Benz's EQE and EQS models have also achieved double-digit growth.