According to sales data from Cox, sales of Tesla vehicles fell to 39,800 units in November. That marks a 23-percent fall from the same month last year when Tesla sold 51,513 units and the lowest monthly total since January 2022.
This significant sales fall has occurred despite the EV manufacturer launching cheaper versions of its Model Y and Model 3 in October. These Standard models, which have fewer features than their counterparts, cost about $5,000 less than base models they replaced and were supposed to buoy the company’s sales after the federal government’s $7,500 tax credits expired. But they didn’t.
Tesla’s No Good, Very Bad Year
Tesla’s annual sales fell for the first time in its existence last year in 2024. That marked the beginning of what has become a very bad year for the company in 2025. Sales for both the first and second quarter of this year were down compared to the year prior, and while they rebounded for a strong third quarter, that performance was aided by a rush of buyers taking advantage of the $7,500 federal tax credit before it expired at the end of September. With these November numbers, it appears Tesla’s fourth quarter won’t help the company avoid another down year.
There are many reasons for Tesla’s troubled times in 2025. Increased competition, especially in Europe from domestic and Chinese manufacturers alike, has eaten away at its market share. The U.S. market has also declined precipitously, blame for which can be placed at the feet of CEO Elon Musk who decided to wade into far-right-wing politics this year and alienate a large contingent of potential customers. Likewise, the Cybertruck, the company’s latest all-new model upon which a lot of hope was pinned, has struggled mightily in a marketplace that hasn’t embraced any full-size electric pickup trucks currently on sale.
The rest of Tesla’s lineup is often criticized for being outdated. While that’s not entirely true considering the Model Y and Model 3 both received extensive upgrades recently that were more substantial than a mere refresh, they haven’t translated to increased sales for either car. The new Standard versions of the Model Y and Model 3, meanwhile, haven’t set the world on fire either with their lower pricing at the cost of features and content.
TopSpeed’s Take
The first reaction in the TopSpeed newsroom to Tesla’s sales slide in November was, “Oof.” America’s once unassailable electric car leader is showing more than chinks in its armor; it’s missing whole pieces. While it’s true that competitors in North America aren’t putting up much of a fight, European and especially Chinese competition are charging forward with developing better and more desirable EVs than Tesla.
What’s the answer? As crazy as it sounds, stop selling cars. Musk has made it clear that Tesla’s ambition is to manufacture robotaxis and humanoid robots. The company’s current market capitalization of $1.4 trillion is based almost entirely on anticipation of the latter rather than anything having to do with selling EVs. So just go all-in! Otherwise, the drumbeat of news surrounding Tesla will remain its ever-dwindling relevance as an EV maker, month after month, quarter after quarter.
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