Tesla’s dominant market share in California’s electric vehicle market fell again this year. Automobile experts have calculated Tesla’s competitors took their share of the market and are taking more every day. The experts’ calculations are based on government data for the period between this January to September.
Taking the data from the new vehicle registration register from the California Energy Commission, Tesla controlled 73% of the battery electric market in California from January to September. It is an excellent percentage, but it is the lowest level since 2018. Tesla had a 75% of the overall Californian EV market share in 2021 and a 79% of the electric vehicle market share in California in 2020.
By the way, California is the home of Tesla’s first electric vehicle factory.
Rivals to continue taking EV market share
According to the experts’ calculations, Tesla’s sales accounted for 15% of the automaker’s global deliveries last year. California is the most populous state in the United States for zero-emission vehicles, which also include hydrogen fuel cell and plug-in hybrid-electric vehicles, accounting for 18% of new car sales in the state this year.
Tesla sold more electric vehicles in this key market than a year ago, but rivals such as Hyundai Motor increased sales of newer models, giving buyers more options.
According to a study conducted by California auto consultancy AutoPacific, 53% of potential electric vehicle purchasers are considering Tesla this year, down from 58% in the previous survey last year.
Tesla’s market share in California has reached saturation, according to Ed Kim, president of AutoPacific. He expected rivals to continue taking market share while also expecting Tesla sales to increase.
Twitter ate Tesla’s electric vehicle sales
Tesla CEO Elon Musk’s pursuit of Twitter and embrace of Republicans have raised questions about Tesla’s brand, particularly in liberal states such as California. His controversial statements and tweets do not help either.
According to Guidehouse Insights analyst Sam Abuelsamid, the Twitter saga may have put off some potential Tesla buyers who had previously supported Musk and his clean energy mission.