Tesla (TSLA) saw another electric vehicle sales decline in the U.S. during January, according to state registration data.
U.S. sales for the Austin-based company were estimated to be down 17% for the month, which extends a slump from last year and was magnified by the expiration of the federal tax incentive for EV purchases.
Despite the soft month, Tesla (TSLA) may have picked up market share because total EV sales are estimated to have fallen over 20% in January. Tesla (TSLA) has cut the prices on key models in the U.S. to stoke demand, while other competitors have de-emphasized their EV programs as they look to boost profitability.
Looking back, Tesla (TSLA) delivered about 1.64M vehicles in 2025, which marked an 8.6% decline from the 2024 tally and its second straight annual drop after 2023’s roughly 1.81M deliveries. After years of rapid expansion, including 38% year‑over‑year growth in 2023, Tesla (TSLA) deliveries essentially flattened in 2024 before contracting in 2025 as softer global EV demand, increased competition, and internal model changeovers weighed on volume.
Shares of Tesla (TSLA) are down just over 6% on a year-to-date basis. The focus by investors on Tesla’s (TSLA) AI, autonomy, and Elon Musk’s other related companies has shifted the narrative further away from just tracking auto deliveries growth.