Tesla Registrations Drop in California, Rivian and GMC See Significant Increases: California Auto Outlook Report

The latest California Auto Outlook report has revealed some interesting trends in the EV market, particularly when it comes to Tesla. According to the report, Tesla saw a 7.8% drop in sales in California in the first quarter of this year, marking the second consecutive quarter of decline. This news comes as a surprise to many, as Tesla has long been the dominant player in the EV market in California.

While Tesla’s sales may be slipping, other brands are seeing significant growth. Rivian, a Tesla competitor, saw an 87.1% increase in registrations in California, while GMC saw a staggering 24,700% increase. This shift in the market is notable, as it suggests that Californian drivers may be losing some of their enthusiasm for Tesla.

Despite the drop in sales, Tesla still holds the top spot in the EV market in California. The company’s Model Y, Model 3, and Model X were the top three best-selling EVs in the state in 2024. However, Tesla’s market share has decreased to 11.6%, while other brands like Toyota and Honda are seeing increases.

The report also highlights the changing landscape of the EV market in California. Traditional car companies are making a comeback with new electric and hybrid vehicles, and consumers are showing more trust in local dealerships and traditional brands. This shift in consumer behavior could be contributing to Tesla’s decline in sales.

Overall, the California Auto Outlook report paints a picture of a changing EV market in California, with Tesla facing increased competition from other brands. While Tesla may still be the top seller in the state, the drop in sales and market share is a sign that the company may need to adapt to the evolving market to maintain its dominance.