Tesla Is No Longer the World’s Most Popular Electric-Car Maker

In 2021, Tesla held 19 percent of the worldwide market share for electric vehicles, while BYD came in second with 10 percent. But in 2022, BYD surpassed Tesla, taking the top spot with 18 percent of the global market share, compared with Tesla’s 13 percent.

Both companies had large electric vehicle growth in 2022. But while Tesla expanded its EV sales by 672 percent year over year, BYD grew by an amazing 1,881 percent.¹

Last year in China, BYD sold more than 1.6 million electric vehicles, while Tesla sold just under 441,000. So while BYD makes up nearly a third of the Chinese market share, Tesla has only 7 percent, based on the 2022 data.

Although BYD leads the Chinese market, Tesla is still the most popular electric vehicle manufacturer in the U.S., according to the most recent data from the U.S. Department of Energy.² The Tesla Model 3 alone makes up nearly half of the entire U.S. electric vehicle market, while Tesla as a brand makes up 60 percent. It’s important to note, however, that the latest data is from 2019 and that BYD vehicles are not available for purchase in the U.S.

While BYD has already entered some European markets, the manufacturer’s interest in U.S. distribution for two of its electric vehicle models has been complicated and delayed by several factors:

• General anti-China sentiment in the U.S.
• President Joe Biden’s prioritization of U.S.-manufactured EVs and batteries
• Tension between Washington, D.C., and Beijing
• The Inflation Reduction Act, which stipulates that EVs produced outside North America won’t be eligible for a $7,500 rebate

As of January 2023, BYD’s expansion into the U.S. was on pause, leaving Tesla’s grip on the U.S. EV market safe for now.⁴

One reason China’s adoption of all-electric vehicles outpaces that of the U.S. is the country’s abundance of charging stations. For every EV charging point in the U.S., there are 10 in China.⁵

In a survey by AAA, one-quarter of Americans said they want to buy an electric vehicle for their new car, but many expressed concerns about a lack of charging points. Here are some of the key findings from the survey:

• 60 percent were concerned about not having enough charging points nearby.
• 58 percent were concerned about running out of power while driving.
• 55 percent said EVs were unsuitable for long-distance travel.
• 31 percent weren’t able to install charging stations where they lived.⁶