The Model Y could be the world’s best-selling car in the world in terms of revenue this year and overall volume in 2023
The current best-selling car is the Toyota Corolla
The Tesla Model Y is the first $70,000 vehicle to sell close to 600,000 units per year
Tesla believes its Model Y compact electric crossover is on the way to becoming the world’s best-selling car both in terms of sales and profits by the end of 2023.
According to Elon Musk, the Model Y will generate more revenue than any other vehicle in the world by the end of this year and it will sell more units than any other model by the end of next year.
Currently, the world’s best-selling vehicle is the Toyota Corolla, which has been sold all around the world since 1966. In 2021, Toyota delivered around 1,150,000 new Corollas to buyers over the globe. This model is popular in many markets due to its reputation for durability and its relatively low cost.
In the same period, Tesla sold 936,222 vehicles spread between its four models, which means that the Model Y is still quite far from the Corolla.
Achieving Musk’s goal is not impossible, however, since Tesla has increased its production rate significantly since last year by adding two Gigafactories in Berlin and Texas, both of which are concentrating on the Model Y.
Even with the current production constraints, Tesla is on track to sell around 1,3 million vehicles globally in 2022. Once the company is able to find a way around supply issues and ramp up all of its factories to their full capacity, it should be able to overtake the Corolla in terms of sales volume.
Even before this happens, the Model Y could become the most profitable vehicle in the world. This is due to its popularity and its high starting price of almost $70,000 in the United States.
As of now, the Tesla Model Y is the first vehicle in this price bracket to sell almost 150,000 units per quarter or 600,000 per year around the world.
With the shift to electric vehicles which are more expensive than comparable gasoline-powered models, the future most popular vehicles might not be determined by their cost or reputation, but rather by their performance and range.