Sun Jan 04 15:54:07 UTC 2026: Summary:

In 2011, Elon Musk dismissed BYD as a serious competitor to Tesla. However, by 2025, BYD had surpassed Tesla as the world’s largest electric car maker. This shift reflects China’s rising influence in the EV market. Tesla’s decline in sales is attributed to increased competition from Chinese rivals, the expiration of US federal EV tax credits, and brand backlash related to Elon Musk’s political involvement.

News Article:

BYD Overtakes Tesla as World’s Top Electric Car Maker, Marking a Dramatic Shift in the Industry

[City, State] – A decade after Elon Musk confidently dismissed Chinese automaker BYD as a threat to Tesla, the tables have turned dramatically. BYD has surpassed Tesla to become the world’s largest electric car maker, signaling a significant shift in the global EV market and the growing dominance of Chinese manufacturers.

In a 2011 interview, Musk famously laughed at the idea of BYD competing with Tesla, citing their unattractive design and weak technology. However, in 2025, BYD sold 2.26 million battery electric cars, outpacing Tesla’s 1.63 million deliveries, which marked a 9% decrease from 2024 sales.

Tesla’s fall from the top can be attributed to several factors. Increased competition from Chinese companies like BYD, which offer a wider range of affordable models and hybrids, has put pressure on Tesla’s market share. The expiration of US federal EV tax credits also made Tesla vehicles less affordable for many consumers.

Moreover, brand backlash linked to Elon Musk’s political involvement, including his role in the Trump administration’s Department of Government Efficiency (DOGE) initiative and support for right-wing causes, alienated some EV-friendly customers. Despite a marketing boost from former U.S. President Donald Trump, Tesla faced protests, boycotts, and declining demand in key regions.

The rise of BYD and the challenges faced by Tesla underscore China’s growing influence in the electric vehicle sector. Chinese manufacturers are leveraging the transition to EVs to challenge established automakers and gain a larger share of the global automotive market.

“(With inputs from AP)”

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