Wednesday, 10 August 2022 13:49

Tesla May Be Texas-Based Now, But It’s Still a Dominating Force in California

Written by Simon Alvarez, Teslarati
Tesla Model Y. Tesla Model Y.

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Tesla may be a Texas-based electric vehicle maker today, but its previous home, California, is still one of its strongest markets.

This is especially the case with the Model 3 sedan and the Model Y crossover, the company’s two best-selling electric cars. 


California is the U.S.’s largest auto market, and one of the most competitive. Tesla, whose roots lie in the state, has always performed well in California. In the first half of 2022, however, the company performed especially well. 


As noted by Phil LeBeau in a CNBC Squawk Box segment, the Tesla Model Y and Model 3 have been absolutely dominating in California in the first half of 2022. As per data from the California New Car Dealers Association, the Tesla Model Y became the state’s No. 1 model overall in the first half of the year. The Model 3 stood at No. 2. 


It should be noted the Model Y and Model 3’s rankings are true for California’s overall auto market, not just the state’s electric vehicle segment. Tesla brand sales are up 82% as well. LeBeau noted part of this strong performance is probably due to the company’s Fremont Factory being located in the state. 


The Fremont Factory is Tesla’s first large-scale auto manufacturing facility, and while it is not as optimized as the company’s Gigafactories in Shanghai, Berlin and Texas, it is still extremely efficient. Today, the Fremont Factory is the U.S.'s largest producing vehicle plant, with a capacity of 600,000 vehicles per year. 


Tesla’s rise in California’s overall auto market has now pushed the electric vehicle maker to second place in the state’s top auto brands by market share, with a 10.7% share. Toyota still holds the top spot at 17.9%, while Ford stands in third place with an 8.7% market share.


We thank Teslarati for reprint permission.