For nearly two years, the Tesla Model Y held a historic title: the world's best-selling car and the first electric vehicle to do so. But new global sales data from JATO Dynamics reveals that in 2024, it was edged out by the Toyota RAV4, with just 0.16% separating the two.
This moment marks a symbolic shift in the worldwide auto market. The Model Y had outpaced gas-powered rivals, breaking a glass ceiling for EVs and fulfilling a bold prediction from CEO Elon Musk. But a combination of brand turbulence and changing consumer sentiment, coupled with Musk's political activities, may have cost it the crown.
While the RAV4 benefited from strong hybrid and plug-in hybrid sales — despite being near the end of its current generation — the Model Y's momentum dipped. Though a refresh was quietly in the works and announced just after the end of 2024, that news likely caused potential buyers to wait it out. Still, this alone doesn't explain the drop.
Tesla's sales slump began in mid-2024 and worsened in 2025, with the company reporting back-to-back declines in vehicle deliveries — a first in its history.
Many industry observers point to consumer backlash tied to Musk's politics. His involvement in anti-EV campaigning and inflammatory public statements have made headlines and sparked protests globally. This has left some prospective buyers feeling uneasy about purchasing from the brand.
Even so, the Model Y's performance remains remarkable. Coming in second by a sliver — less than 3,000 units globally — in a year dominated by economic uncertainty and market volatility is no small feat. The Model 3 also held strong in ninth place with a 10% sales bump, and other plug-in models, such as the BYD Qin, also made the top 10. So, while Tesla might have lost the top spot, EVs are still gaining ground.
And while some Tesla fans hope the refreshed Model Y will spark a comeback, Musk's continued political presence may prove a tough obstacle to overcome. As one commenter put it: "Every one of those Teslas sold is one less ICEV burning gas. However, I think we all know what is happening to sales at Tesla and why."
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