Tesla released its final production and delivery figures this morning, and they make for brutal reading. Sales fell by almost 16 percent in the last three months of last year, meaning the company sold 77,343 fewer electric vehicles than in the same period in 2024.
For the full year, the decline looks slightly better, with a decline of 8.6 percent year-on-year. That means Tesla sold 1,636,129 cars in 2025, 153,097 fewer than in 2024. That's more than it managed to shift in 2023.
Sales problems
Factors contributing to poor sales are numerous. The brand still relies overwhelmingly on the Models 3 and Y, and aside from a mild cosmetic refresh, neither feels fresh or modern compared to competitors from Europe and Asia.
And Elon Musk's much-hyped Cybertruck—supposed to cost less than $40,000 and go into production in 2021, lest anyone forget—has been a disaster, eclipsing the Edsel. Its failure has brought down another company initiative, Tesla's “in-house battery cell.” It was initially designed specifically for the Cybertruck, although the CEO later claimed it would be used for static storage as well as electric vehicles. But apparently it has fallen victim to a lack of demand. Last week, Electrek reported that Tesla's South Korean battery material supplier L&F has written down its $2.9 billion contract with Tesla to just $7,386. A decrease of more than 99 percent.
Musk has not reversed his embrace of the far right, which has driven down sales in markets like California and Europe, where EV buyers often use their conscience to guide their wallets.
