Tesla sales in California plummeted 15 percent over the first three months of 2025 compared to the same period last year, marking the first time the company has represented less than half of the state’s electric vehicle market, according to data released Wednesday by the California New Car Dealers Association.
Why it matters: Tesla’s rapid decline in California’s market comes as the company faces international backlash over CEO Elon Musk’s support of President Donald Trump and right-wing politicians in Europe, and his role in leading mass firings of federal workers and slashing agencies.
The European Automobile Manufacturers’ Association released data earlier this month showing that Tesla sales for January and February declined by 43 percent compared with last year. That was despite overall EV sales in Europe increasing by 30 percent.
The numbers: Tesla sold just over 42,000 vehicles during the first quarter — a decline of more than 7,000 compared to last year — accounting for 43.9 percent of California’s total EV market. The company represented a whopping 80 percent of the state’s electric sector in 2020.