Market share of Tesla vehicles in three major markets continued to increase during the first quarter of 2023, reaching new record levels.
According to the industry data (trailing by twelve months), Tesla's market share in the United States/Canada (counted together) is now very close to 4 percent, compared to over 3.5 percent three months earlier.
Sales of Tesla EVs increased, and there should be no slowdown thanks to the new wave of price reductions, which indicates that soon the share should increase beyond 4 percent. In Q1 2023, the Tesla Model Y was the best-selling non-pickup truck passenger vehicle in the US.
In Europe, Tesla's market share also improved moving up (from over 2 percent in Q4 2022) toward 2.5 percent. It's worth noting that in Q1 2023, the Tesla Model Y became the best-selling vehicle of any kind in Europe (EU + EFTA + UK).
In China, despite various challenges, Tesla also managed to slightly increase its market share and for the very first time achieved a 2 percent market share.
Tesla's market share is increasing mainly because the company is consistently increasing its sales volume (to a new record of 422,875 units in Q1 2023). In some cases, the market share increases because the overall market shrunk year-over-year.
In 2023, the company is expected to further increase production and sales - potentially to 1.8 million units - but it's very difficult to forecast anything in a highly volatile economy.
Tesla's long-term target is to increase electric car sales - on average - by 50% year-over-year:
"We are planning to grow production as quickly as possible in alignment with the 50% CAGR target we began guiding to in early 2021. In some years we may grow faster and some we may grow slower, depending on a number of factors. For 2023, we expect to remain ahead of the long-term 50% CAGR with around 1.8 million cars for the year."
Since 2008, Tesla sold cumulatively more than 4 million electric cars globally, and its 12-month output improved beyond 1.4 million annually (almost 1.7 million annually, considering only Q1).
