Tesla’s (NASDAQ:TSLA) China-made electric vehicle (EV) sales fell 15% Y/Y in May 2025, totaling 61,662 units, Reuters reported, citing data from the China Passenger Car Association (CPCA). This figure includes both domestic sales and exports of the Model 3 and Model Y vehicles manufactured at its Shanghai plant.
The decline in Tesla’s China-made EV sales marks the eighth consecutive month of year-on-year declines for the company in the world’s largest auto market.
Deliveries of China-made Model 3 and Model Y vehicles were up 5.5% from the previous month.
Tesla’s (NASDAQ:TSLA) overall EV sales rout continued across most parts of Europe.
The automaker faces intensified competition from local manufacturers, especially BYD (OTCPK:BYDDF), which reported a 14.1% Y/Y increase in passenger vehicle sales, reaching 376,930 units in May 2025.
The Chinese EV market is currently experiencing aggressive price wars, with more than 40 brands participating. Tesla has initiated significant price cuts since 2023 and remains under pressure from lower-priced, high-performance local rivals.