Investors are looking for evidence Musk’s politics are hurting Tesla. It’s hard to find, but California might be turning against Musk—slowly.

Tesla lost market share and saw a sales decline in California in 2024. Is Elon Musk's support for Donald Trump hurting sales?

Tesla’s sales have dropped by double digits in California, the most important EV market in the US, all while the rest of the EV market is growing.

Last year’s sales and market share declines should worry Tesla, as California is far and away the most important state for EVs in the U.S., but it’s not all bad news. The company’s Model Y SUV was the best-selling EV in the state, racking up nearly 129,000 sales; this vehicle is also the most popular EV in the world.

Tesla's sales in California fell sharply in 2024, marking its first annual decline in the state as competition intensifies.

Still, the Model Y crossover continued to be the top-selling vehicle in the state, with about 129,000 units sold last year. The Model 3 sedan was a distant second, with around 53,000 cars delivered. Tesla's electric-vehicle registrations in California fell about 12 per cent last year,

While other business factors also came into play, Tesla likely lost business in California as a result of the role Elon Musk played in the U.S. election.

For years, Tesla has been the undisputed heavyweight of California’s growing electric vehicle market. It’s dominated sales charts, crushed the competition, and made itself syn

Californians are registering thousands of new Cybertrucks even as there are fewer takers of the bestselling EVs in its lineup.