In the world’s toughest EV market, Tesla managed something in November that had long seemed impossible: it returned to growth.
For Musk, it is a rare bright spot in a year when Europe is weakening and Chinese rivals are gaining strength worldwide.
Details
📈 Up 9.9 %: Tesla sold 86,700 vehicles from its Shanghai Gigafactory in November. It is the company’s second-best month of the year and only its third month of growth in 2025.
⚙️ New models hit the mark: The newly introduced long-range, rear-wheel-drive Model Y is resonating with customers. Together with the refreshed Model 3 and the new six-seater version, Tesla now has a more competitive lineup in China.
🧲 Winter clearance effect: Many buyers are pulling forward orders because tax incentives and subsidies expire or are reduced at the end of December. Tesla benefits from this, as do Chinese brands.
📉 Good month, bad year: Over the first eleven months, deliveries from the Shanghai factory are still about 8 percent below last year. Tesla holds only a single-digit market share in China and faces heavy price pressure from Xiaomi, BYD and others.
🚙 BYD takes a hit: BYD sold about 480,000 EVs and hybrids in November. It sounds impressive but is roughly 5 percent below the previous year and marks the third consecutive monthly decline. The price war is affecting even the industry leader.
Background: EVs for China, combustion cars for the world
- China’s rapid EV transition has created major overcapacity at home. This is driving a second trend in the background. 👇🏻
- Chinese manufacturers are exporting millions of gasoline and diesel vehicles to emerging markets. Since 2020 about three quarters of China’s auto exports have been combustion-engine vehicles, and total exports likely exceeded 6.5 million units in 2024.
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