Tesla Retains Top Spot as Largest BEV Maker in 3Q, GM Gains Ground

Tesla CYBERTRUCK

Tesla continues to lead the global battery electric vehicle (BEV) market, edging out China's BYD in the third quarter of 2024. Despite a slight dip in year-to-date sales compared to last year, the US carmaker remains the world's largest BEV producer. Meanwhile, General Motors (GM) has surpassed Ford to become the second-largest BEV brand in the US, marking a significant shift in the competitive landscape.

Tesla and BYD Dominate, But GM Grows Stronger in the US

In the third quarter, Tesla reported global sales of 462,890 units, bringing its year-to-date total to 1.29 million BEVs. This is a small decline from the 1.32 million units sold during the same period last year, reflecting a slower sales pace in the first half of 2024. BYD, Tesla’s closest competitor, has recorded approximately 1.17 million BEV sales so far this year. The Chinese automaker's overall new energy vehicle (NEV) sales, including plug-in hybrids, reached 2.7 million units, demonstrating its robust market presence.

In the US market, GM has made notable gains, capitalizing on Tesla's declining market share. Tesla's US market share slipped to 49.7% in the second quarter, a significant drop from its 74.8% share in early 2022. GM's BEV sales rose by 60% year-over-year and 46% quarter-over-quarter, with 32,195 units sold in the third quarter. This growth came despite a 2.2% dip in GM’s overall car sales during the same period. The company's focus on affordable models, including the newly launched Equinox EV, has proven effective. Starting at around $35,000 and eligible for tax credits that bring the price down to as low as $27,495, the Equinox EV is currently the most affordable electric vehicle in the US.

For comparison, Tesla's most affordable Model Y starts at approximately $37,500 after tax credits, though used models can be found for as low as $25,000. The affordability of these models, aided by the US Inflation Reduction Act, which provides a $7,500 tax credit for selected US-made EVs, has been a critical factor in boosting sales. As of October 1, the tax credit has saved US buyers over $2 billion this year.

Ford, now the third-largest BEV brand in the US, sold 23,509 units in the third quarter. Although this represents a 12% year-over-year increase, sales were down 2% from the previous quarter. The automaker is shifting its strategy, planning to introduce a new electric pickup in 2027 while scaling back plans for larger electric SUVs to focus on smaller, more affordable models, a move aimed at staying competitive with GM’s expanding BEV lineup.