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.

Rivian Automotive is starting to build a long-delayed electric vehicle plant in Georgia, despite tough challenges in the U.S. market. The company is investing $5 billion as it aims to persuade Americans to buy electric trucks. But Tuesday's groundbreaking comes just weeks before the federal government kills a $7,500 electric vehicle tax credit that President Donald Trump wanted to get rid of. Rivian officials say they're banking on making vehicles that buyers will find superior to traditional gas-fueled cars. A new Rivian SUV will start selling next year for $45,000. The Georgia plant is crucial to the company reaching a mass market and achieving profitability after years of losses.

Sales of Tesla electric cars fell sharply in the last three months compared to a year earlier as boycotts over Elon Musk's political views continue to keep buyers away. Tesla is also facing stiff competition from other electric vehicle makers, especially in Europe where China's BYD has taken a bite out of its market share. The 13% plunge in sales reported Wednesday adds to growing signs that Musk's embrace of U.S. President Donald Trump and far-right politicians in Europe has had a deep and enduring impact to Tesla's brand appeal. Sales fell to 384,122 in April through June, down from 443,956 in the same period last year.