By Joey Klender

Posted on January 25, 2024

Tesla said during its Q4 2023 Earnings Call that the Model Y all-electric crossover was the best-selling vehicle of any kind in the world last year.

It is a monumental achievement, considering the vehicle started deliveries to customers just four years ago.

CEO Elon Musk has said on several occasions that he believed Model Y would eventually become the best-selling car in the world.

He said this for the first time during the Q1 2021 Earnings Call:

“When it comes to Model Y, we think Model Y will be the best-selling car or vehicle of any kind in the world and probably next year. So I’m not 100% certain next year, but I think it’s quite likely. I’d say more likely than not, that in 2022, Model Y is the best-selling car or truck of any kind in the world.”

Musk’s timeline for the achievement may have been off, but only by a year, and the Model Y, according to company figures, was the best-selling vehicle in 2023. This outpaces the Toyota Corolla and RAV-4, which have been mainstays on the list for some time.

Tesla Model Y sales overtakes Toyota RAV4 in its quest to become the best-selling vehicle

Tesla said in its Earnings Shareholder Deck that the Model Y had officially earned the label of the best-selling vehicle in the world:

“In 2023, we delivered over 1.2 million Model Ys, making it the best-selling vehicle, of any kind, globally. For a long time, many doubted the viability of EVs. Today, the best-selling vehicle on the planet is an EV.”

If the figures are correct based on Tesla’s Shareholder Deck and comments made during the Earnings Call, it means the Model Y was a large concentration of the company’s vehicle mix.

Tesla reports its figures in a unique fashion, combining Model 3 and Model Y in its reporting. It also combines sales figures for the Model S and Model X.

Tesla said it delivered 1,739,707 Model 3 and Model Y units in 2023. If it delivered 1,200,000 exactly, it would have made up roughly 69 percent of the Model 3 and Model Y mix.

It is no secret the Model Y helped Tesla catalyze a strong growth rate from 2020 to 2023. Vehicle deliveries grew 38 percent in 2023 compared to 2022, and the Model Y was undoubtedly a huge part of that, thanks to its massive influence as a demand driver for Tesla.

However, Tesla knows that its growth will not be carried by the Model Y forever. Instead, it is turning its focus to its next-generation platform, which is expected to enter production in the latter half of next year.

The company said that it expects a “notable” drop in annual growth rate this year, which has put pressure on shares on Thursday.

I’d love to hear from you! If you have any comments, concerns, or questions, please email me at joey@teslarati.com. You can also reach me on Twitter @KlenderJoey, or if you have news tips, you can email us at tips@teslarati.com.

Tesla says Model Y has achieved unthinkable ‘best seller’ label in just four years

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