The Tesla Model Y dethroned by a very famous Japanese car

It is a symbolic shift that took place at the end of 2024. The Tesla Model Y is no longer the best-selling car in the world.

According to data from JATO Dynamics, the Toyota RAV4 has reclaimed the top spot for the year 2024, with fewer than 2,000 units difference, or 0.15%. A seemingly anecdotal change, but rich in lessons about the current dynamics of the global automotive market.

First, it is worth recalling the achievement that the Model Y’s first place has represented since early 2023. The first 100% electric vehicle to top global sales, produced by a company that did not exist twenty years ago, the Model Y has embodied the acceleration of electrification on a global scale. It was also, in a sense, the realization of an ambitious prediction by Elon Musk.

However, in 2024, several circumstantial factors have disrupted this trajectory. On one hand, Tesla has transitioned to a new generation of the Model Y, officially announced for early 2025 but largely anticipated since the previous autumn. As is often the case in the automotive industry, informed customers have preferred to postpone their purchases, creating a temporary dip in deliveries.

The RAV is nevertheless at the end of its cycle

On the other hand, the RAV4 has paradoxically experienced its best global sales as it approaches the end of its current cycle. Its facelift has been announced for 2026 with the gradual phasing out of strictly thermal versions, but this has not dampened demand, proving that the Toyota brand benefits from a trust capital and a global network that remains impressively effective.

Beyond the products themselves, the competitive environment is tightening. Tesla, despite a dominant position in the EV segment, is seeing its margins squeezed and its volumes weakened by the emergence of strong rivals, particularly from China (BYD, Xiaomi, Xpeng) and Japan. Furthermore, the brand image of the California-based manufacturer has seen a noticeable decline, which may have a measurable impact on purchase intentions, especially in mature markets.

Should we see this as a questioning of Tesla’s leadership? Not necessarily. But the loss of the top spot for the Model Y shows that the technological and industrial advantage is no longer as decisive as it once was. In a mature market, brand loyalty, brand perception, and the overall product offering now play at least as important a role as pure innovation.

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