Tesla's China Sales Are A Huge Deal

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Tesla’s total sales for 2024 dropped 1.1% to 1,789,226 vehicles. The market considered this bad news, but Tesla’s China sales more than offset the global issue. As China tries to green its economy and slow rising air pollution, its EV industry has become huge and profitable.

According to Reuters, “U.S. electric vehicle maker Tesla said on Friday its China sales rose 8.8% to a record high of more than 657,000 cars in 2024, a strong performance in a competitive market in a year when its annual global deliveries fell for the first time.”

If EV companies win in China, they win globally. To understand the market’s scope, China’s industry leader, BYD, sold almost 4.3 million EVs and plug-in hybrids. And over 85% of its sales are in its home market.

China’s drive toward rising EV market share among all passenger cars has been a key part of its claim to become an alternative energy leader. It also has the global industry lead in solar. However, China remains the world’s largest polluter and a major coal user.

China Green Energy Industries

Leaving China’s green credential behind, in the EV sector a rising tide lifts all ships which will continue to be in Tesla’s favor.

Tesla has also established a market beachhead in China for autonomous vehicles, which may become a more significant industry advance than EVs. Tesla probably tops the world’s largest companies by the measure of which is closest to a truly autonomous vehicle.

A self-driving EV first to market in China would be a phenomenal win. And Tesla is closing in.