Could 2026 Be The Year Tesla’s (TSLA) Foreign Sales Recover?

Tesla, Inc. (NASDAQ:TSLA) is one of the 8 Best American Stocks to Buy for the Next 5 Years. On April 2, Tesla, Inc. (NASDAQ:TSLA) reported that its China-made electric vehicle sales continued to grow for a second straight quarter, even amid growing competition and as the company expands its focus beyond EVs. According to data from the China Passenger Car Association, the company’s  Shanghai factory sold 85,670 Model 3 and Model Y vehicles in March. This total, which includes units exported to Europe and other markets, represents a 8.7% year-over-year increase.  This marks five consecutive months of growth, supported by recovering European demand.

Tesla, Inc. (NASDAQ:TSLA) is one of the 8 Best American Stocks to Buy for the Next 5 Years

A Tesla car. Photo from Tesla website

For the first quarter of 2026, China-made sales grew 23.5% compared to the last year, up from a 1.9% rise in Q4 FY 2025. Analysts said Tesla, Inc. (NASDAQ:TSLA) and other EV makers could also benefit from higher oil prices following the Iran crisis.

Globally, TSLA’s first-quarter deliveries are expected to rebound nearly 10% from a year earlier, when some consumers showed reluctance over CEO Elon Musk’s political views. Competition in the EV market remains strong, especially from Chinese manufacturers. Tesla, Inc. (NASDAQ:TSLA) lost nearly half of its European market share last year. In China, the company’s share of the EV market declined from 10% in 2024 to 8%.

Tesla, Inc. (NASDAQ:TSLA) is a developer, manufacturer, designer, lessor, and seller of electric vehicles and energy generation and storage systems. The company operates across China, the United States, and globally. It operates through the Automotive and Energy Generation and Storage segments.

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