Tesla’s deliveries in China dropped sharply in April 2025, with its Shanghai Gigafactory handing over 58,459 Model 3 and Model Y vehicles-a 25.8% decline from March and a 6% decrease compared to the same month last year. This marks the seventh consecutive month of year-over-year declines for Tesla in the world’s largest electric vehicle market, highlighting deepening challenges for the U.S. automaker.
The main driver behind Tesla’s slump is intensifying competition from domestic Chinese brands, which are offering more affordable and technologically advanced models. Companies like BYD and Nio are rapidly gaining ground: BYD saw a 19.4% jump in sales to 372,615 vehicles in April, while Nio’s deliveries surged by 53%. Aggressive pricing and a steady stream of new models from Chinese rivals have drawn buyers away from Tesla, eroding its market share.
Tesla’s struggles in China are part of a broader global slowdown, with sales also dropping in key European markets. In China, however, the challenge is particularly acute as local competitors continue to innovate and expand, making it increasingly difficult for Tesla to regain momentum in a market it once dominated.
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(Source: Bloomberg | SCMP)
