Tesla continued to lead the global battery electric vehicle (BEV) market in 2024, maintaining the largest market share despite a slight decline. According to recent data from EV Volumes, Tesla’s global market share in the BEV sector stood at 18% during the first nine months of 2024, down from 19% in 2023.
The competition, however, is rapidly catching up. Chinese conglomerate BYD, which not only manufactures electric vehicles but also produces batteries and electronics for the EV industry, has seen significant growth. BYD’s market share surged by 9 percentage points between 2021 and 2024, positioning the company as a formidable contender to Tesla’s dominance, as shown in a chart by Statista’s Florian Zandt.
Despite its impressive gains, analysts caution that BYD’s market share might not continue to grow at the same pace in 2025. The company is expected to shift some of its focus to plug-in hybrid electric vehicles (PHEVs) in the upcoming year, potentially limiting its expansion in the BEV segment.
In contrast, legacy automakers like Volkswagen and Geely-Volvo still hold modest shares in the BEV market, with 7% and 8%, respectively. Chinese state-owned company SAIC, which operates joint ventures with Wuling and General Motors, also holds 8% of the BEV market as of the most recent data.
Between 2023 and the first three quarters of 2024, both Tesla and BYD experienced a slight dip in market share, each losing 1 percentage point. A key difference between the two companies lies in their target consumer base: Tesla’s higher-end vehicles come with a premium price tag, while BYD is focusing on offering more affordable BEVs to a broader customer demographic. However, this price gap could narrow, with a recent tariff increase on Chinese-made cars, which rose from 25% to 100% in August 2024.
In 2023, the global electric vehicle market reached 14 million units, with 70% of these being BEVs. Despite the growth of electric vehicles, traditional combustion engine vehicles still made up the vast majority, accounting for 84% of all light vehicle sales worldwide. China remains the largest market and exporter for both hybrids and BEVs, holding significant shares of 65% and 59%, respectively.
Tesla and BYD’s dominance signals a shifting landscape in the global electric vehicle market, with both manufacturers playing key roles as the industry continues its transition towards electrification.
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