Tesla EV Sales Stabilizing In This Key Market But U.S. Demand Under Pressure
Tesla (TSLA) car insurance registrations in China jumped last week, helping the company catch up in one of its most important electric vehicle (EV) markets. While overall EV sales in the U.S. dropped by more than 6% in the second quarter, Tesla shares rose slightly on Tuesday, reaching key levels.
Between July 7 and 13, Tesla registered about 12,300 vehicles in China—a 145% increase from the previous week, based on data from independent industry trackers. Although it’s still early in Q3, Tesla’s registrations in China are now nearly 93% higher than the same period in Q2, suggesting strong sales momentum.
Tesla’s vehicle sales in China seem to be stabilizing, even as electric vehicle (EV) sales in the U.S. dropped. According to Cox Automotive, U.S. EV sales fell by 6.3% in the second quarter. However, total EV sales in the U.S. for the first half of 2025 still rose slightly, up 1.5%.
Tesla’s EV Sales Face Pressure Amid Market Shifts
Tesla’s vehicle sales in China are beginning to stabilize, even as the U.S. EV market faces some hurdles. According to Cox Automotive, electric vehicle (EV) sales in the U.S. fell by 6.3% in the second quarter of 2025. Still, total EV sales for the first half of the year were up slightly by 1.5%, showing that the market is growing more slowly.
Stephanie Valdez Streaty, a senior analyst at Cox Automotive, explained that the recent dip in Q2 sales is only the third quarterly decline on record. “This reflects a more mature EV market,” she said. She also added that the upcoming months will be a real test for EV demand, especially since the $7,500 U.S. EV tax credit is ending in September.
“Q3 will likely be a record, followed by a collapse in Q4, as the electric vehicle market adjusts to its new reality,” Streaty noted.
Tesla Stock & Upcoming Events
Tesla will report its second-quarter earnings on July 23, and its annual shareholder meeting is scheduled for November 6, 2025, according to official filings.
Ahead of Tuesday’s market open, Tesla shares rose slightly by 0.3%. On Monday, the stock climbed 1% to $316.90, bouncing back from a 0.6% decline last week, where it closed at $313.51.
Stock Trends and Market Behavior
Tesla stock had rallied between late April and late May after CEO Elon Musk said he was stepping away from politics. Since then, the stock has swung up and down, often influenced by news and political debates between Musk and former President Donald Trump.
The stock saw a big boost after the robotaxi launch, but it’s now down about 2% since the June 22 service release.
According to MarketSurge analysis, Tesla shares have now formed a new base with a buy point at $367.71. On Monday, the stock regained the 200-day moving average, but faced resistance at the 50-day line.
Tesla Stock Update: Volatility and Ratings
As of Monday’s market close, Tesla stock has risen 33% since its Q1 earnings call on April 22, mainly fueled by excitement over its robotaxi developments. However, despite the recent rebound, shares are still down 21% for the year and remain 35% below their all-time high of $488.54.
Tesla’s stock shows noticeable price swings, with a 21-day Average True Range (ATR) of 4.38%, according to MarketSurge. The ATR is a measure of how volatile a stock typically is:
Higher ATR means the stock makes larger daily moves — which can sometimes trigger automatic sell signals and shake out investors.
Lower ATR indicates more stable, smaller daily movements.
Investor Tools and Tesla’s Market Ratings
For investors tracking high-growth stocks, Tesla appears on several IBD watchlists, including:
IBD Leaderboard
IBD 50
SwingTrader
Sector Leaders
In terms of market strength and fundamentals, Tesla currently holds:
59 Composite Rating (out of 99) — measuring overall strength
81 Relative Strength Rating — showing how well the stock performs against others
58 EPS Rating — based on earnings-per-share performance
