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Tesla Delivers 21% Fewer Cars in California, Extending Seven-Quarter Slump

Its prolonged sales slump has driven California’s zero-emission vehicle share down to 18.2%, opening the door for established automakers.

Elon Musk, chief executive officer of Tesla Inc., during a news conference in the Oval Office of the White House in Washington, DC, US, on Friday, May 30, 2025.
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Overview

  • Tesla delivered 41,138 vehicles in California in Q2 2025, a 21% drop from the same period last year and marking its seventh consecutive quarterly decline.
  • The slump pulled California’s zero-emission vehicle share down to 18.2% in Q2, from 22.0% a year earlier.
  • Rival brands outpaced Tesla year-to-date with Honda registrations up 9.9%, Toyota up 8.5%, Ford up 10.5% and Chevrolet surging 21%.
  • Despite the downturn, the Model 3 remains California’s top-selling passenger car with a 12.6% market share, closely trailed by the Toyota Camry and Honda Civic.
  • The California DMV is suing Tesla for alleged false advertising of its Autopilot and Full Self-Driving features and seeking to suspend its dealer license in the state.