Tesla's China Problem Is Getting Worse - Here Are the 3 Rivals Taking Its Market Share

"While Tesla retains a dominant position among NEV manufacturers in America, the company only ranks fifth in China. Number four on the list is a joint venture known as SAIC-GM-Wuling, which includes U.S. automaker General Motors. I'm not including SAIC-GM-Wuling on this top-three list, but it's noteworthy that in China, a General Motors joint venture outranks Tesla."

"Since China is such an important NEV market, Tesla stock could decline in 2026 if there isn't a major pickup in Tesla's China sales. In light of the numbers I'll reveal to you in a moment, it's not looking great for Tesla in China. There's a strong sense of loyalty among consumers in China's EV market, and BYD is firmly entrenched there while Tesla continues to struggle."

"BYD scored a 27.2% market share of China's retail passenger NEV market. It's a mistake to disregard BYD, however. There's a strong sense of loyalty among consumers in China's EV market, and BYD is firmly entrenched there while Tesla continues to struggle."

Despite Elon Musk's wealth, Tesla does not dominate the global electric vehicle market. In China, a crucial NEV market, Tesla ranks only fifth among manufacturers, trailing BYD and other competitors. BYD commands a 27.2% market share of China's retail passenger NEV market and maintains strong consumer loyalty. A General Motors joint venture, SAIC-GM-Wuling, also outranks Tesla in China. While BYD stock has risen 40% over five years, Tesla's position in China continues to weaken. This market share disadvantage in China could negatively impact Tesla stock performance in 2026 if sales do not significantly improve.

Read at 24/7 Wall St.