Tesla Is Losing Market Share As Rivals Debut New EVs

When you think of an electric car brand, your mind likely gravitates towards Tesla, just as people used to think of the Toyota Prius when you mentioned a hybrid. But while Tesla is currently the world's dominant EV-maker, recent releases from other startups as well as more traditional automakers have shown that more than one company can build a great electric vehicle. We have newcompanies like Rivianalong with new offerings from established companies, includingAudi's e-tron GTand Ford'sMustang Mach-E. With more automakers bringing their electric vehicles to market,Automotive Newsreports that Tesla is starting to see a shrinking share of the customer base.

According to the report, last year through May saw Tesla build four of the top five new EVs registered with state governments, but this year, the carmaker only has two in the whole top 10. This does not mean that Tesla is in trouble - new-vehicle registrations have still climbed through May by 81%, but at the same time, the EV total has jumped 116%.

Jeff Schuster, president of global forecasting at LMC Automotive, sums it up nicely: "As this vehicle type becomes more mainstream and there's just more choices out there for consumers, I think that that's why we do expect to see Tesla's share - not their volume, because that's going to grow as they add more products - but their share of the segment is going to fall."