The number of Tesla's new car registrations in California, USA, decreased in all four quarters of last year, and sales of its second most important model fell 36% throughout the year. According to data from the California New Car Dealers Association, Tesla's sales in California fell by nearly 8% and 12% respectively in the fourth quarter and full year last year; California is by far the largest electric vehicle market in the United States. Full-year registrations for Model 3 fell by more than a third.
Registrations fell despite Tesla adding a fifth model to its lineup last year, the polarizing Cybertruck. While more common business factors also played a role, including upgrades to the Model 3 lineup earlier in the year, the company may also have lost some business in California due to CEO Elon Musk's active role in the U.S. election.
Musk, 53, has spent at least $288 million campaigning for Donald Trump and other Republican candidates in the 2024 campaign cycle. Finally, in November, Democratic candidate Kamala Harris won California by 20.2 points.
Tesla still maintained the majority of zero-emission vehicle registrations in the state last year, but its share fell from 60.1% to 52.5%. With the exception of the Cybertruck, which will be on sale starting in late 2023, the rest of Tesla's lineup suffered registration declines last year.
Honda and Hyundai saw the largest increases in their EV market share, increasing by 1.8 and 1.5 percentage points respectively.