Tesla is the king of electric cars in the US, and when Tesla sales slump, the whole electric car market feels it. In February 2024, Tesla registrations dropped a whopping 25% compared to the same month last year. This dragged down the entire US electric car market, which saw a 2.8% decline in registrations.
Interestingly, if you take Tesla out of the picture, electric car registrations in the US actually grew by a significant 32%! This means other carmakers like Ford, Hyundai, Kia, and BMW are seeing strong growth in electric vehicle sales.
In February, Tesla alone had over 36,000 new registrations, while all the other car companies mentioned combined had just over 22,000. A big reason for Tesla’s slump seems to be the Model 3. This car lost its tax credit benefit and Tesla also paused production to update the model. Registrations for the Model 3 dropped a steep 73%.
Tesla’s Model Y, the current best-selling electric car in the US, saw a smaller drop of around 7%. The Model S and X sales also stayed fairly steady. Overall, Tesla’s recent struggles show that while they are a major player in electric cars, the market is starting to grow beyond them. Other manufacturers are offering more electric vehicle options, and consumers are taking notice.
