Tesla is shaping up to have a pretty miserable 2025 all around, and the bad news just keeps on coming. According to a recent report by JATO Dynamics analyst Felipe Munoz, the Model Y was dethroned in 2024 as the world’s best-selling car, usurped by the Toyota RAV4 courtesy of an 11% year-over-year jump for the Toyota SUV, alongside a 3% decline for the Model Y. The silver lining for Tesla is that both vehicles were incredibly close, with Tesla only an estimated 2,000 purchases below the RAV4’s estimated 1,187,000.
It should also be noted that the Model Y got facelift this year to a more Cybertrucky appearance (because that vehicle has been such a hit), which might have impacted both production and sales of the SUV during 2024. The brand damage that CEO Elon Musk self-inflicted throughout last year and into this one also hasn’t. In fact, Tesla sales in general peaked all the way back in February 2023, at least in America, per KBB.
For the RAV4’s part, the current gas-powered generation is almost finished. While Toyota didn’t officially reveal the new, hybrid-only generation until this year, discerning consumers would have been aware it was coming. It will now go out in a blaze of glory as the best-selling car in the world (and yes, that includes America.)
Tesla’s cutting edge is getting pretty dulled
Even without a controversial CEO, Tesla is in a tight spot right now. Its very success proved that there is a market for EVs, and now automakers from new startups to legacy brands are coming out with new electric models. Tesla’s lineup, meanwhile, is getting pretty old, with only the Cybertruck debuting in the last five years. Tesla didn’t even make the most EVs in 2024; per KBB, that throne has been usurped too, in this case by Chinese maker BYD.
Still, the Model Y only just barely missed out on the top spot in 2024, and the Model 3 came in 9th. That’s not exactly a bad place to be. But as sales continue to plummet quarter after quarter, that picture is only going to get worse, not better.
