Tesla's US BEV Market Share Declines as Rivian and Lucid Gain Ground

Tesla's US BEV market share declined to 41.3% in July from 49.7% YoY, while Rivian and Lucid gained market share. Rivian's share rose to 3.2% from 2.5% and Lucid's share increased to 0.7% from 0.5%. US BEV sales excluding Tesla grew by 39.1%, while Tesla's sales declined by nearly 5%.

In July 2025, Tesla's US BEV market share declined to 41.3%, down from 49.7% year-over-year (YoY), according to data from Cox Automotive. This marks a significant drop in Tesla's dominance, which has been a consistent leader in the electric vehicle (EV) market. Meanwhile, Rivian and Lucid have seen notable increases in their market share.

Rivian's market share rose to 3.2% from 2.5% YoY, while Lucid's share increased to 0.7% from 0.5% YoY. These gains reflect a growing interest in alternative EV brands as Tesla's market share shrinks. The overall US BEV sales excluding Tesla grew by 39.1%, while Tesla's sales declined by nearly 5%.

The decline in Tesla's market share is likely attributed to several factors, including Elon Musk's controversial public statements and political endorsements, which have negatively impacted the company's brand loyalty. According to S&P Global Mobility, Tesla's customer loyalty dropped from 73% in June 2024 to 49.9% in March 2025, a significant decrease that has not been seen in the industry before [2].

Despite the decline in market share, Tesla remains a dominant player in the EV market, and its recovery in customer loyalty to 57.4% in May 2025 indicates that the brand still holds considerable appeal. However, the increasing competition from other EV manufacturers, such as Rivian and Lucid, suggests a shifting landscape in the US EV market.

The US EV market continues to grow, with battery electric vehicles (BEVs) reaching 7.4% of all new car sales in Q2 2025, down slightly from 8.0% YoY. The federal EV tax credit set to expire on September 30, 2025, is expected to drive up EV sales in the third quarter of 2025.

References:
[1] https://caredge.com/guides/electric-vehicle-market-share-and-sales
[2] https://electrek.co/2025/08/04/tesla-consistently-led-in-brand-loyalty-then-elon-opened-his-stupid-mouth/?extended-comments=1