In Q2, Tesla noted another positive quarter in terms of increasing its market share in the three largest markets, reaching new record levels.
As we can see on the chart below, the rate of expansion was pretty consistent in the past few quarters and Tesla is expected to continue to increase its market share in North America also in the near future. Let's not forget that the company is increasing its sales in the US by about 50 percent year-over-year, which far outpaces the general market.
In Europe, Tesla's market share is improving even faster thanks to the local production of the Tesla Model Y in Germany (supplemented by the import of Model 3/Model Y from China). The market share is now very close to three percent, compared to nearly two percent a year ago. Meanwhile, the Model Y has become the best-selling car in Europe in the first half of the year.
In China, Tesla also managed to increase its market share, which is now above two percent. It will be very interesting to see how well the expansion will progress in the future, as the Chinese BEV industry is very strong and appears fully engaged in the price competition.
The positive outcome in all three markets is not a surprise, considering that Tesla is consistently increasing its production and sales volume, reaching a new record of 466,140 units in Q2 2023.
However, the growth might slow down a bit in Q3, according to Tesla, as the company has to upgrade some of its plants.
In 2023, Tesla is expected to produce and sell roughly 1.8 million units, while its long-term target (since early 2021) is to increase electric car sales every year - 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 vehicles for the year."
Since 2008, Tesla cumulatively sold more than 4.5 million electric cars globally, and its 12-month output improved beyond 1.6 million annually (almost 1.8 million annually, considering only H1).