Tesla lost its crown as the world's bestselling electric vehicle maker on Friday as a customer revolt over Elon Musk's right-wing politics, expiring U.S. tax breaks to buyers and stiff overseas competition pushed sales down for a second year in a row. Tesla said that it delivered 1.64 million vehicles in 2025, down 9% from a year ago. Chinese rival BYD, which sold 2.26 million vehicles last year, is now the biggest EV maker. For the fourth quarter, sales totaled 418,227, falling short of the 440,000 that analysts polled by FactSet expected. The sales total were hit hard by the expiration of a $7,500 tax credit that was phased out by the Trump administration at the end of September.

Federal regulators have opened yet another investigation into Tesla's so-called full-self driving technology after dozens of incidents in which the electric vehicle maker's cars ran red lights or drove on the wrong side of the road, sometimes crashing into other vehicles and endangering drivers. The National Highway Traffic Safety Administration said in a filing dated Tuesday that it has 58 incident reports of Tesla vehicles violating traffic safety laws while operating in full self-driving mode. In reports to regulators, many of the Tesla drivers said the cars gave them no warning about the unexpected behavior. The probe covers 2.9 million vehicles, essentially all Teslas equipped with full self-driving technology