Consumer interest in new Tesla models dropped to its lowest point in two years, while trade-ins of recent Tesla vehicles reached record highs, according to recent data from car shopping website Edmunds provided to The Epoch Times.
In February, consumer interest in new Tesla vehicles fell to 1.8 percent, marking the lowest level since October 2022.
The report noted this is a significant drop from the 2024 peak of 3.3 percent recorded in November. Edmunds defines consumer interest as website visitors engaging with vehicle photos, reviews, inventory listings, or submitting inquiries to dealerships.
The declining interest is notable even among shoppers who initially consider other brands. Edmunds reported a decrease in “reverse cross-shopping,” a metric reflecting consumers who start their search with competitors but eventually consider Tesla.
The Model Y experienced significant declines, particularly from shoppers initially considering rivals such as the Ford Mach-E, Kia EV6, Kia EV9, and Hyundai IONIQ 5.
Cross-shopping between Tesla models also fell. Model 3 shoppers who considered the Model Y dropped to 23.7 percent in February, down from 30.8 percent a year earlier, hinting at reduced enthusiasm among previously loyal Tesla customers.
Jessica Caldwell, head of insights at Edmunds, attributed Tesla’s declining appeal to multiple factors, including Tesla CEO Elon Musk’s heightened visibility within the federal government, depreciation concerns, and increased market saturation.
“Brand loyalty is becoming a bigger question mark,” Caldwell said. “With more Teslas on the road than ever, the brand’s initial street cred may be eroding for some early adopters who once prized its vehicles as a status symbol.”
Despite decreased interest in new vehicles, Edmunds found no significant changes in the used Tesla market. Prices for used Teslas remained consistent with other electric vehicle (EV) models.
For example, the Model Y saw a price drop of 19.5 percent from February 2024 to February 2025, aligning closely with declines in competitors such as the Ford Mustang Mach-E (24.7 percent) and Hyundai IONIQ 5 (23 percent).
Tesla trade-ins, however, reached historical highs. March 2025 recorded the highest share ever of Tesla vehicles from model years 2017 or newer being traded in at dealerships for non-Tesla purchases. The trade-in share increased from 0.5 percent in January 2024 to 1.4 percent in March 2025.
Caldwell noted that while financial incentives such as federal tax credits and new model refreshes may boost short-term sales, Tesla faces challenges attracting and retaining customers over time.
“These shifts in Tesla consumer sentiment could create an opportunity for legacy automakers and EV startups,” Caldwell said. “Competitive pricing, new technology, or less controversy could capture defecting Tesla owners and first-time EV buyers.”
Musk heads the newly created Department of Government Efficiency (DOGE), which is helping the Trump administration to significantly reduce the federal workforce and government spending. DOGE’s actions, including attempts to gain access to sensitive government computer systems, have faced multiple legal challenges.
