While Tesla’s Model Y remains the world’s bestselling electric vehicle across major markets, the popular SUV is experiencing mixed demand signals in 2025. The vehicle topped sales charts in the US, Europe, and China, even becoming China’s bestselling car of any kind in March.
Tesla’s Model Y dominates global EV sales despite mixed 2025 demand signals across different markets.
But global sales dropped 13% year-over-year, creating an unusual market situation that could affect prices soon. Tesla sold 46,150 new EVs in May 2025, leading competitors by a wide margin. Some regions showed explosive growth.
Australia’s Model Y sales jumped 122.5% compared to last year, with Tesla’s total Australian sales reaching 3,897 units in May. That’s a 675% increase from the previous month. Meanwhile, protests against Tesla in the US market have started fading, helping demand recover.
The launch of Tesla’s updated Juniper model has created a surge in accessory demand. Google searches for “Tesla Model Y accessories” hit their highest point in August 2025. The new model’s features, including ventilated seats and an 8-inch rear touchscreen, have owners rushing to buy compatible upgrades. Popular accessory purchases include center console organizers priced from $12.99 to $69.99 and performance pedals ranging from $19.99 to $299.99.
Reddit users frequently discuss organizers, floor mats, and console wraps for their new vehicles. The used car market tells another story. While new EV sales fell 10.7% year-over-year in May 2025, used EV sales surged 32.1%.
Tesla controls nearly half of the used EV market at 49.6% share. The Model Y ranks among the top-selling used EVs, alongside the Model 3, Model S, and Model X. Used EV sales hit 36,609 units in May, making up 2.2% of all used vehicle sales.
Current Model Y prices range from $21,568 to $40,100, depending on the version and location. Long-range all-wheel-drive models cost between $38,100 and $40,100. Entry-level versions start at $28,000 to $31,000 in some markets. The Model Y leads in retention value at 58.5% after three years, significantly outperforming Tesla’s luxury Model S and X variants.
These prices face pressure from both strong regional demand and declining global sales. Tesla’s ability to maintain high gross margins through shared components across its five-model lineup gives it pricing flexibility that competitors lack. With the Model Y expected to remain the world’s bestselling EV for the third straight year, Tesla faces tough pricing decisions.
Strong demand in certain markets and weak performance in others could force price adjustments within days as the company balances inventory and profitability goals.