Chinese company BYD is preparing to overtake Elon Musk's Tesla and become the world's largest seller of electric vehicles (EVs), surpassing its American competitor in annual sales for the first time, UNN reports with reference to the BBC.
Details
On Thursday, BYD reported that its EV sales last year increased by almost 28% and exceeded 2.25 million.
Tesla, which is due to announce its total sales for 2025 on Friday, last week released analyst estimates that around 1.65 million vehicles were sold during the year.
The American firm has faced a difficult year with mixed reception to new offerings, concerns about Musk's political activities, and intensifying competition from Chinese rivals.
In October, Tesla introduced cheaper versions of two of its best-selling models in the US, seeking to boost sales. The company has been criticized for the slow release of new and more affordable options needed to remain competitive.
Musk, already the richest person in the world, is tasked with significantly increasing Tesla's sales and market capitalization over the next decade to secure a record compensation package. The deal, approved by shareholders in November, could bring him up to $1 trillion.
As part of the deal, Musk must also sell one million humanoid robots over the next ten years. Tesla has invested heavily in its "Optimus" product and autonomous "robotaxis."
Tesla sales plummeted in the first three months of 2025 after a backlash against Musk's role in the administration of US President Donald Trump.
In addition to Tesla, the multi-billionaire's business interests also include the social media platform X, the rocket company SpaceX, and the tunnel-boring company Boring Company.
These commitments, along with leading the Department of Government Efficiency (DOGE) under the Trump administration, have led some investors to suggest that Musk is not paying enough attention to Tesla.
Musk has since promised to "significantly" reduce his role in the US government.
Despite BYD's rapid growth in recent years, the pace of sales growth in 2025 has slowed to its lowest level in five years.
The Shenzhen-based company faces increasing competition in China, its key market, from many EV manufacturers such as XPeng and Nio.
Nevertheless, BYD remains a global leader in EV production, as its prices are often lower than those of competing automakers, the publication writes.
The company's rapid growth, especially in Latin America, Southeast Asia, and parts of Europe, comes despite many countries imposing high tariffs on Chinese EVs.
In October, BYD stated that the UK had become its largest market outside of China. The company reported that its sales in the UK grew by 880% in the year ending in late September, driven by high demand for the plug-in hybrid version of the Seal U SUV.
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