Tesla Just Delivered Its Best Q2 Ever Despite A U.S. Sales Slump

The Numbers Are Looking Up

After years of declining deliveries, Tesla is showing signs of recovery despite a difficult U.S. market following the expiration of the $7,500 federal EV tax credit. In the second quarter of 2026, the EV maker delivered 480,126 vehicles, up 25% year over year and ahead of Wall Street estimates.

That figure also marks Tesla’s best second-quarter performance, topping the previous Q2 record of 466,140 deliveries in 2023. However, the company’s all-time quarterly record still belongs to Q3 2025, when it delivered 497,099 vehicles as buyers rushed to secure an EV before the federal tax credit expired. The latest Q2 2026 result was driven mostly by the Model 3 and Model Y, which accounted for 467,762 deliveries, while other models, including the Cybertruck and the outgoing Model S and Model X, totaled 12,364 units.

Tesla

Finding Buyers Abroad

According to Automotive News, citing a Deutsche Bank forecast, Europe had the biggest gain, with an estimated 40% jump in deliveries. One factor behind the improvement was rising gas prices, which encouraged buyers to consider fuel-efficient hybrids or EVs that avoid gasoline altogether.

As expected, Tesla’s U.S. deliveries were down in Q2 2026, with Cox Automotive estimating a 20.1% decline to 114,629 vehicles. The drop reflects the loss of the federal EV tax credit, which has weighed on EV momentum in the U.S. as the current administration rolls back EV-focused incentives and regulations. It also reflects broader pressure across the U.S. EV market, though S&P Global Mobility noted that EV registrations in April 2026 posted the smallest year-over-year decline so far this year.

Automotive News also reported that Tesla’s Q2 2026 deliveries rose 66.5% in Canada and 3% in China.

Tesla

Back In Sync

In addition to the 480,126 deliveries in Q2 2026, Tesla produced 451,758 vehicles, meaning it delivered more vehicles than it built during the quarter. That is worth noting after the automaker produced over 50,000 more EVs than it delivered in Q1 2026, its largest production-to-delivery gap on record.

Moving forward, Tesla's robotaxi business will play a larger role. The company is expected to announce new details on its two-seater Cybercab on July 7, with the vehicle expected to become the brand's highest-volume model.