Tesla’s Model Y and Model 3 were again the best-selling EVs in the U.S. during the second quarter of 2025. Both cars held a large share of the electric vehicle market, even as total EV sales dropped compared to last year.
The U.S. EV market saw a 6.3% drop in sales compared to the same quarter in 2024. But Tesla still led by a wide margin. The company sold 86,120 Model Y units and 48,803 Model 3s during Q2. These two models made up 43% of all EVs sold in the country.
No other EV brand came close. In fact, Tesla’s total sales for these two models were higher than the combined sales of the next eight EVs on the list.
Tesla Faced Setbacks but Still Led the Market
Tesla had some issues before and during Q2. In early 2025, it paused Model Y deliveries to prepare for a new version. This affected Q1 sales. At the same time, the company dealt with store closures and damage linked to public protests. Some of these problems spilled into Q2.
Even with these problems, people continued to buy Tesla’s two main models in big numbers.
U.S. EV Market Slows But Shows Signs of Growth
The overall market declined for only the third time in years. Just over 310,000 EVs were sold from April to June 2025. But sales were still better than Q1 this year, growing by 4.9%. The first half of 2025 saw more than 607,000 electric vehicles sold, a record for a six-month period.
The next quarter may be busier. Buyers are expected to place more orders before a change to federal EV tax credits takes effect on October 1.
Chevrolet Moves Up, GM Gains Ground
General Motors more than doubled its EV sales from the first half of 2024. It passed 78,000 units in the first six months of 2025. GM reached a 12.9% share of the U.S. EV market. Chevy became the second top-selling electric vehicle brand in the country. That helped GM beat Ford and Hyundai during this period.
Tesla still holds the largest share, 44.7% of the U.S. EV market. However, its revenue in Q2 fell 12% year over year. Q1 revenue had already dropped almost 9%.
Incentives Rise, Used EV Market Grows
To help low sales, automakers increased discounts. Average incentives reached 14.8% of the purchase price, equal to about $8,500 per vehicle.
More people are buying used EVs too. More than 100,000 used electric vehicles sold during the second quarter. One reason is that many of these cars still qualify for a $4,000 federal tax credit. Some new EVs no longer qualify at all.
Tesla had a tough start to the year but kept a strong lead in Q2. The Model Y and Model 3 stayed in demand while other brands gained ground. The third quarter could shift things again, as tax credit changes bring more buyers to the market.
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