According to Bloomberg, in 2024, U.S. electric vehicle manufacturer Tesla's global sales reached 1.79 million units, falling short of expectations but surpassing Audi, one of Germany's most prestigious premium car brands. This marks the first time Tesla's annual global sales have exceeded Audi's.
Facing intensified competition in Europe and China and weakening demand for electric vehicles, Audi, a Volkswagen Group brand, saw its global car sales drop by 12% year-over-year to 1.67 million units in 2024. Audi's sales declined in key markets such as Germany, China, and North America. Additionally, global deliveries of Audi's fully electric vehicles decreased by 8% year-over-year to approximately 164,000 units.
Despite this milestone, Tesla narrowly outpaced Chinese EV manufacturer BYD to become the world's top seller of fully electric vehicles. However, Tesla's annual global deliveries experienced a decline for the first time in over a decade. Tesla's Model Y SUV remains one of the world's best-selling vehicles and is set for an update this year.
Meanwhile, German automakers are grappling with slowing demand for luxury cars in the Chinese market, with no clear timeline for recovery. In Europe, EV sales have underperformed expectations following subsidy cuts in several countries. These challenges prompted profit warnings in 2024 from automakers such as Volkswagen Group, Mercedes-Benz Group, and BMW Group.
Manufacturers have begun scaling back production to address sluggish sales. Volkswagen Group reduced production capacity for its flagship Volkswagen brand, and Audi plans to close a factory in Brussels due to weak demand for its electric Q8 e-tron SUV.
Audi is also working to boost sales by updating models such as the A7 sedan and Q3 SUV this year. On January 13, Audi CEO Gernot Döllner stated in a press release, "Consumers can also look forward to the launch of more new plug-in hybrid models from Audi."
