American Invest Hub
  • Politics
  • Investing
  • Business
  • Latest News

American Invest Hub

  • Politics
  • Investing
  • Business
  • Latest News
Investing

Tesla’s Share of US EV Market Dips Below 50 Percent for First Time

by admin July 16, 2024
July 16, 2024
Tesla’s Share of US EV Market Dips Below 50 Percent for First Time

Tesla’s (NASDAQ:TSLA) share of the US electric vehicle (EV) market fell below the 50 percent threshold for the first time ever in 2024’s second quarter, according to a July 11 report from Cox Automotive.

The company’s dominant position in the American EV market, which it has held since the introduction of its Model S in 2012, took a hit on the back of competition from rival automakers, including EV manufacturers in China.

Tesla accounted for 49.7 percent of EV sales in the US from April to June, down from 59.3 percent a year earlier. The decline came despite growth in overall US EV sales, which rose 11.3 percent compared to the same period last year.

The total number of electric cars and light trucks sold in the US exceeded 330,000 units during the second quarter, representing 8 percent of all new car sales in the period, up from 7.2 percent a year earlier.

The drop in Tesla’s market share can be attributed to several factors. One is that traditional automakers like Ford (NYSE:F), Hyundai (KRX:005380) and Kia (KRX:000270) have been aggressively expanding their EV offerings.

Just last month, Hyundai and Kia entered into a long-term agreement with Chilean chemicals company SQM (NYSE:SQM) to acquire their supply of lithium hydroxide, a necessary component for EV batteries.

At the same time, Tesla’s EV lineup has aged, with the best-selling Model Y debuting in 2020.

In contrast, competitors are introducing newer models with updated technology and designs. Hyundai and Kia, for example, offer a broader range of EVs at competitive prices, with the former finding commercial success for its IONIQ 5 release, while the IONIQ 6 is one of the 10 most fuel-efficient EVs in the US this year.

Tesla’s global sales were down in Q2 as well. The company reported a 4.8 percent drop in sales worldwide for the quarter, with approximately 444,000 units sold. Cox estimates its US sales fell by 6.3 percent to 164,000 cars.

Chinese Tesla rival BYD steps up

BYD (OTC Pink:BYDDF,SZSE:002594) is China’s largest EV maker and another significant rival for Tesla.

On July 9, it announced a US$1 billion deal to establish a manufacturing plant in Turkey.

The facility is expected to produce up to 150,000 vehicles annually and will help BYD circumvent newly increased tariffs imposed by the European Union on Chinese-made EVs. The Turkish plant is also part of BYD’s broader strategy to expand production outside China, including new facilities in Thailand and plans for a plant in Mexico.

BYD’s expansion comes amid increasing regulatory challenges in the west.

As mentioned, the European Union recently raised tariffs on Chinese EVs by an additional 17.4 percent, while the US has imposed a 100 percent border tax on Chinese-made electric cars.

In December of last year, BYD also announced plans to open an EV plant in Hungary.

Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.

This post appeared first on investingnews.com

0
FacebookTwitterGoogle +Pinterest
previous post
SolGold Secures US$750 Million for Cascabel Project via Gold Streaming Deal
next post
Labyrinth Resources Limited (ASX: LRL) – Trading Halt

Related Posts

Cannabis Round-Up: Ukraine Legalizes Medical Cannabis, Blüm to...

February 20, 2024

More High-Grade Gold & Silver Confirmed at Dynasty...

May 15, 2024

Alibaba reaches 1-year high: is the bearish downtrend...

September 29, 2024

HYG vs JEPI: Which is the better dividend...

September 26, 2024

What Was the Highest Price for Silver? (Updated...

May 30, 2024

Sonic crypto price prediction: a coiled spring ready...

May 13, 2025

Brunswick Exploration Expands Its Exceptional Grassroot Portfolio Across...

March 27, 2024

Further High-Grade Gold Results Received from Cork Tree...

July 23, 2024

Solana price forms rare bullish pattern, closes the...

October 30, 2024

Stoxx 50 index forms inverse H&S pattern ahead...

December 9, 2024

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest News

    • Trump wants Apple to shift iPhone production from India to the US: here’s what it means

      May 18, 2025
    • Inflation outlook in 2025: what April’s soft data isn’t telling you

      May 18, 2025
    • Rich List 2025: UK billionaires decline for first time in years amid market turmoil

      May 18, 2025
    • Novo Nordisk CEO to step down as obesity drug competition intensifies

      May 18, 2025
    • Argentina’s black market for dollar falters as President Milei dismantles currency controls

      May 18, 2025

    Categories

    • Business (2,979)
    • Investing (2,438)
    • Latest News (1,990)
    • Politics (1,530)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: americaninvesthub.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 americaninvesthub.com | All Rights Reserved