BYD is now the world's leading electric vehicle (EV) brand, surpassing Tesla in sales in 2025. The Chinese New Energy Vehicle brand reported that it sold 2.26 million battery electric vehicles (BEVs), up nearly 28% compared to 2024. Meanwhile, Tesla sold just 1.6 million, down 8.6%, the biggest decline in the company's history.
In the fourth quarter, Tesla's sales fell to about 418,227 units, down 15.6% from a year earlier. While BYD's full-year performance was strong, it also experienced its longest slowdown in five years, due to fierce competition in China. There are more than 50 EV makers, including Geely, Xiaomi, and Leapmotor, which are gradually eroding BYD's market share.
From 35% in 2023, BYD's market share fell to 29% in the first 11 months of 2025. During the same period, sales fell by more than 5%, while Geely's sales increased by almost 90%. Due to low prices and intense competition in China, BYD has had to expand its market overseas, including Latin America, South East Asia, and parts of Europe.
BYD's sales outside China rose to 1 million units, up 150% from 2024. The company aims to sell 1.6 million vehicles overseas by 2026, though it has not yet released a total target. However, low prices and fears of "zero-mileage cars" have led to high taxes on Chinese EVs in many countries.
Although BYD has surpassed Tesla in sales, Tesla has still been more profitable in recent quarters.
