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Is Tesla’s sales slump in Australia over?

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in Auto News
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Tesla Australia has posted its strongest month of deliveries so far this year, and its first month without a year-on-year decline.

According to figures shared by Tesla to the Electric Vehicle Council, the US electric vehicle (EV) brand delivered 3897 vehicles in May 2025, up 9.25 per cent on May 2024.

However, following successive year-on-year declines, Tesla sales are still down a significant 48.1 per cent year-to-date. 

The arrival of the updated ‘Juniper’ Model Y led to sales of Tesla’s mid-size SUV soaring by 122.5 per cent last month compared to May 2024, with a total of 3580 examples delivered.

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It was the brand’s biggest month of deliveries since June 2024, when 4683 Teslas found new homes, and its mid-size SUV’s strongest performance since March 2024 when it notched up 4379 deliveries.

But sales of the Model 3 sedan, despite receiving a similarly extensive update last year, have slumped 83.8 per cent year-on-year to 317 units.

Year-to-date, the Model Y is still down 27.4 per cent and sitting at 6974 deliveries, while the Model 3 is down by a whopping 70.7 per cent and sitting at 2583 deliveries.

The EV Council is the exclusive source of Tesla and Polestar sales data in Australia after the auto brands quit the Federal Chamber of Automotive Industries (FCAI) last year. 

The FCAI is responsible for the monthly VFACTS sales report, with May’s results set to be published tomorrow. We’ll be able to see, then, how close rival brands like BYD have gotten to Tesla.

Some rival brands like Deepal and Xpeng, however, don’t yet report to VFACTS or the EV Council.

Despite its recent sales slump, the Model Y will likely maintain its stranglehold on the title of Australia’s top-selling EV – an impressive feat given its ever-growing contingent of rivals – while the Model 3 could hold onto second spot.

Here’s a breakdown of Tesla’s inconsistent monthly sales volumes this year.

Month Deliveries
January  739
February  1592
March  2829
April  500
May  3897

Another electric car brand Polestar, which also reports to the EV Council, posted a 66.4 per cent year-on-year increase in May.

The launch of the Polestar 3 large SUV (28 deliveries) and Polestar 4 mid-size SUV (133) have helped offset the slumping Polestar 2 fastback (82, down 43.8 per cent).

Overall, the brand is up 40.6 per cent so far this year, compared to January-May 2024.

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