In an unexpected turn of events, Tesla's sales in the United States have dropped nearly 9% in the first quarter of the year, even as the electric vehicle (EV) market experiences substantial growth. This alarming trend has analysts scratching their heads, as buyers are increasingly favoring other brands.

According to a report by Cox Automotive, buyers are shifting their preferences toward models like General Motors' Chevrolet Equinox EV, which is priced around $35,000 and boasts a range of over 300 miles on a single charge. While overall electric vehicle sales climbed 11% to approximately 300,000 units this quarter, the traditional auto market has remained stagnant.

Cox's report reassured enthusiasts, stating, "Despite many obstacles — and what you may read elsewhere — electric vehicle sales continue to grow at a healthy pace in the U.S. market." However, Tesla's commanding lead is slipping; once holding 51% of the market, it now accounts for just 44%.

This slump in U.S. sales parallels a broader global downturn, with Tesla reporting a 13% decline in total deliveries, totaling 337,000 vehicles across all markets. Analysts attribute this decline to various factors, including an aging vehicle lineup, disappointing sales of the much-anticipated Cybertruck, and increasing competition from other automakers.

Adding to the turbulence, Tesla CEO Elon Musk's political entanglements, particularly his support for President Trump, have reportedly alienated many potential buyers. Surveys show that Democrats and independents are more inclined to purchase electric vehicles compared to Republicans.

Sales of the Cybertruck have also faltered compared to initial projections. In the last quarter, Tesla sold only 6,400 units of the Cybertruck — double from a year ago but significantly lower than the previous quarter.

Meanwhile, traditional automakers, once slow to enter the EV market, are rapidly closing the gap. GM's sales of the Equinox soars to 10,300 units, capturing 11% of the electric vehicle market—up from just 6% a year ago.

Interestingly, the Ford Mustang Mach-E has emerged as the best-selling electric vehicle not produced by Tesla. However, its future may be jeopardized by rising tariffs, as it is manufactured in Mexico and now faces a 25% tariff under Trump's trade policies.

While Tesla is somewhat insulated from these tariffs due to its manufacturing facilities in California and Texas, it is still feeling the pinch. The company recently halted orders from Chinese customers for its luxury Model S and Model X vehicles after China imposed heavy tariffs on U.S. imports.

As Tesla grapples with these challenges, the landscape of electric vehicles in America is changing, with new players eager to capture the market's attention.