Tesla California Registrations Decline for Seventh Consecutive Quarter

By EC Assets · Published 21 April 2026 · Updated 28 May 2026

California registrations for Tesla vehicles declined by 15% in the first quarter. This marks the seventh consecutive quarter of falling sales for the company in its home state. The decrease follows a broader trend as electric vehicle incentives diminish. The California New Car Dealers the decline. Tesla's share of the state's electric vehicle market also decreased significantly. The company's market share fell to 15.6% during the first three months of the year, down from 61.3% in the same period three years prior. This drop occurred in California, a key sales state for electric vehicles. The state accounts for approximately 10% of Tesla's global deliveries. Other electric vehicle manufacturers have entered the market, intensifying competition. Overall EV sales in California still saw an increase of 3.6% in the first quarter. The saturation of the luxury EV market and increased competition are contributing factors. Vehicle affordability remains a barrier for many potential buyers. The expiration of certain state incentives is also impacting purchasing decisions. Industry observers will monitor future registration data from the California New Car Dealers Association. They will also watch for any shis in state or federal EV incentive programs. This article is intended for informational purposes only. It does not constitute investment advice.