BYD Overtakes Tesla as World's Top EV Seller

China's BYD surpassed Tesla in 2025 to become the world's largest seller of electric vehicles (EVs), marking the first time the Chinese automaker has outpaced its American rival in annual sales. BYD reported a 28% sales increase to 2.25 million battery-powered cars last year, while Tesla's sales dropped by nearly 9% to 1.64 million vehicles worldwide, according to company reports released this week.

Tesla's deliveries declined for the second consecutive year, with a 16% year-over-year drop in the fourth quarter, Wired reported. The US firm has faced a challenging year, encountering a mixed reception to its new offerings, unease surrounding Elon Musk's political activities, and intensifying competition in the EV market, according to the BBC.

BYD's overall new energy vehicle sales, which include hybrid vehicles, reached 4.6 million units, Wired reported. The company also saw a significant surge in exports, with a 145% year-over-year increase, signaling a notable shift in the global EV market landscape.