Tesla's Australian sales record slump as BYD Sealion 7 emerges as July's top-selling electric vehicle; Model Y aims for a comeback in August
Tesla and BYD Battle for Electric Vehicle Supremacy in Australia
In the world of electric vehicles (EVs), Tesla and BYD are making waves in the Australian market.
Tesla, the California-based company, has been a consistent performer, regularly posting solid end-of-quarter sales results before taking a breather at the start of the following quarter. However, July 2025 saw a slight dip in sales for the company, with only 987 vehicles sold in the UK, a decrease from the 2462 cars sold in June 2024. The low sales in July were not due to lack of demand but a limited number of cars available to sell.
In contrast, Tesla's Australian division managed to sell 555 Model Ys and 362 Model 3s in July 2025. However, the division is experiencing a delay in the arrival of new Model Ys and Model 3s from its factory in Shanghai, China. This delay has provided an opportunity for BYD, the Chinese automotive giant, to elevate its sales.
BYD seized this opportunity, with its Sealion 7 becoming the EV sales leader in July 2025. The company sold 1427 examples of its popular EV in the same month. This rapid expansion in Australian sales, coupled with aggressive investments in EV technologies, has positioned BYD to potentially replace Tesla as Australia's best-selling electric vehicle company in 2025.
Tesla is not sitting idly by, though. The company has introduced a $2000 bonus for customers trading in an eligible vehicle, with the delivery deadline set for September 30. Additionally, a further $3000 discount is available for customers ordering via a novated lease or using finance from Plenti or Westpac.
Despite the dip in July sales, Tesla is still expected to remain the best-selling electric car brand year-to-date. However, with BYD's aggressive push, there is a possibility that the Chinese company could potentially overtake Tesla later in 2025.
BYD Automotive Australia is also addressing a build-up in back-orders with better Sealion 7 supply, aiming to maintain its momentum in the Australian market. As the race for electric vehicle dominance continues, both Tesla and BYD are gearing up for a strong finish in the remainder of the year, with Tesla expecting a return to form in August, September, and the rest of the year.
In the German market, Tesla sold 1100 cars in July 2025, a 58% decrease compared to July 2024. Despite this, Tesla still accounts for about 30% of Australian EV sales, highlighting the company's continued influence in the electric vehicle sector.
As the world moves towards a more sustainable future, the competition between Tesla and BYD in the Australian market is a testament to the growing demand for electric vehicles and the innovation that is driving the industry forward.