---
title: "Tesla California Sales Fall 24% In Q1 Despite Model Y Leading EV Sales"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/283611050.md"
description: "Tesla's sales in California fell by 24.3% in Q1 2026, with EV market share dropping to 13.7%, the lowest since 2021. Tesla sold 31,958 units, down from 42,211 units last year, despite the Model Y being the best-selling EV at 22,907 units. Tesla's market share increased to 56%, indicating a decline in competition. CEO Elon Musk defended the company amid a broader drop in EV demand and reported 358,000 deliveries against 408,000 manufactured units, leaving over 50,000 unsold. TSLA shares fell 1.55% to $386.15 at market close."
datetime: "2026-04-22T05:30:01.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/283611050.md)
  - [en](https://longbridge.com/en/news/283611050.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/283611050.md)
---

# Tesla California Sales Fall 24% In Q1 Despite Model Y Leading EV Sales

**Tesla Inc.** (NASDAQ:TSLA) sales fell by 24.3% in the first quarter of 2026 in California, illustrating a wider pullback in EV demand in the state.

## EV Market Share Crashes In California

On Tuesday, the California New Car Dealers Association (CNCDA) released its outlook for the state’s auto sector during the first quarter of 2026, where electric vehicles’ market share declined to 13.7% in the quarter, its lowest since 2021. For context, the market share for EVs during the same period last year was 20.9%.

## Tesla Sales Fall

The data also showed Tesla sales falling considerably in the state as the EV maker reported 31,958 units sold, representing a sales deficit of more than 10,000 units from last year’s 42,211 units it sold during the same period. However, Tesla’s Model Y SUV continued to be the best-selling EV in the state at 22,907 units.

Tesla’s market share in California, however, grew to 56% from last year’s 44.2%, which could demonstrate a wider pullback in EV development from other manufacturers. Tesla’s Model 3 sold over 5,688 units, completing the bulk of the EV maker’s sales. The Cybertruck failed to make it in the top 25 best-selling cars in the state, according to the data.

## Elon Musk Hits Back At Critics

Tesla CEO **Elon Musk** recently hit back at its critics as the EV maker’s Model Y and Model 3 remained at the top of the sales charts with over 101,000 sales combined in the first quarter in the U.S. However, this was also coincided by a decline in Chinese retail sales, which fell over 16% year-over-year despite an increase in Tesla’s Wholsale figures in the market.

The EV giant also reported disappointing first-quarter deliveries, with 358,000 units delivered out of the over 408,000 units Tesla manufactured, which illustrates that over 50,000 units are sitting unsold in the company’s lots at the moment.

According to Benzinga Edge Rankings, Tesla offers satisfactory Momentum, but poor Value. It provides a favorable price trend in the Long term.

**Price Action**: TSLA declined 1.55% to $386.15 at market close on Tuesday.

**Read Also: Tesla Q1 2026 Earnings Preview: Key Events From The Past Three Months**

_Check out more of Benzinga's Future Of Mobility coverage by_ following this link.

_Photo courtesy: Tada Images / Shutterstock_

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