Tesla has regained its position as the world’s top-selling electric vehicle maker in the first quarter of 2026, edging past China’s BYD. The American company sold 358,023 EVs globally from January through March – a lead of more than 47,000 cars over BYD’s 310,389 units.
Tesla’s sales rose 6.3 percent from Q1 2025, and the entry-level duo of Model 3 and Model Y made up 95 percent of those numbers. This growth, though modest, helped Tesla move back ahead of BYD, which had overtaken it in total annual sales in 2025 but saw an over 25 percent year-on-year decline in Q1 2026.
- Tesla sold over 47,000 more cars than BYD in Q1 2026
- BYD sold over 2.2 million units in 2025 – 620,585 more vehicles than Tesla
- Tesla’s upcoming line-up includes the Cybercab robotaxi and a new-generation Roadster
In 2025, BYD took the lead with 2,256,714 cars sold, significantly ahead of Tesla’s 1,636,129 units – a nearly 28 percent year-on-year increase for the Chinese auto major versus about a 9 percent fall for its rival. In 2024, Tesla narrowly stayed ahead, delivering 1,789,226 cars, while BYD clocked 1,764,992 units.
EV subsidies cut in China
As per a South China Morning Post report, a big part of this pressure comes from policy changes in China. New EV trade-in subsidies that came into effect on January 1 now cap support at 20,000 yuan (Rs 2.7 lakh), whereas buyers previously got that amount regardless of the car’s price. At the same time, the country has started phasing out its EV sales tax break, cutting the exemption from 10 percent to 5 percent.
Converted figures are as of April 6 (3:19pm).
Dhruv Dhaka
Glenn Noronha
Dipan Sur
