Tesla Model Y Continues to Lead California’s Vehicle Sales in 2025
In 2025, the Tesla Model Y maintained its position as the best-selling new vehicle in California for the fourth consecutive year, despite facing challenges such as protests against CEO Elon Musk and a production pause due to the introduction of an updated variant. Data from the California New Car Dealers Association (CNCDA) revealed that the Model Y outsold its closest competitor by a significant margin, with 110,120 registrations in the state.
The CNCDA report showed that the Toyota RAV4 followed behind the Model Y with 65,604 units sold, while the Toyota Camry and Tesla Model 3 secured the third and fourth spots, respectively. Although Model Y sales saw a slight decline compared to previous years, the vehicle remained a popular choice among consumers in California.
One of the factors that may have impacted Tesla’s sales performance in 2025 was the expiration of the federal $7,500 EV tax credit, which had previously incentivized the purchase of electric vehicles. Despite this, the Model Y and Model 3 continued to attract buyers, showcasing the quality and value that Tesla vehicles offer.
California witnessed several protests against Elon Musk in 2025, with reports of vandalism and attacks on consumer-owned Teslas. Despite these challenges, the Model Y and Model 3 demonstrated resilience in the market, reflecting the strong reputation of Tesla’s electric vehicles.
Looking ahead, Tesla announced plans to discontinue its higher-priced models, the Model S and Model X, in favor of focusing on the Model Y and Model 3. This strategic decision is expected to drive sales of the more affordable electric vehicles and attract a broader customer base.
“The Model S may no longer be as appealing to customers, which is why Tesla has chosen to prioritize the Model Y and Model 3 in its product lineup,” commented CNCDA President Brian Maas on the company’s shift in focus.