Tesla has lost its title as the world's top EV maker to Chinese rival BYD, which sold 2.26 million battery electric vehicles in 2025 compared to Tesla's 1.64 million. Tesla's annual deliveries fell 9 percent in 2025, marking the company's second consecutive year of decline as sales were hit by expiring federal tax credits and intensified global competition. CEO Elon Musk is pivoting toward AI and robotics, focusing the company's future on autonomous robotaxis and humanoid robots to offset slowing vehicle demand.