Tesla’s share in the electric vehicle (EV) market has fallen to 50%, Kelley Blue Book reports.
As recently as the second quarter of last year, Tesla controlled 75% of the EV market. Though total EV sales in America for this year’s third quarter (Q3) saw a 49.8% increase, Tesla only accounted for 50% of EVs last quarter.
Transaction prices for EVs in Q3 experienced significant decreases from 2022. Tesla too has cut its prices, which are now down by roughly 25% year-over-year, and even saw its sales grow by 19.5% last quarter.
In spite of this, Tesla’s lead in the market may be on the decline because of the dramatic increase in competitors.
In 2022, several automakers made sweeping gains in EV sales. Volvo, Nissan, Mercedes, and Hyundai saw increases above 200%, in large part due to new products being offered.
German luxury brands such as Audi, BMW, and Mercedes are also rapidly increasing EV model sales, with Audi reporting an EV sales gain of 94% BMW and Mercedes seeing their EV sales more than triple from a year prior in Q3.
This trend is predicted to continue, with Kelley Blue Book analysts estimating the number of available EVs to double by 2027.
