Tesla is experiencing a wave of strong sales across several Asia-Pacific markets. While the company faces mounting challenges and declining sales in parts of Europe, markets like Malaysia and Hong Kong are seeing record sales.
Model Y Drives Surging Sales in Malaysia
Tesla’s presence in Malaysia continues to grow rapidly, driven by the popularity of the new Model Y. New registrations of the redesigned electric SUV jumped 403% in May 2025 compared to the same month last year. The Model Y is now one of the country’s most in-demand EVs, benefitting from Tesla’s expanding local footprint, government incentives, and increased charging infrastructure.
Year-to-date, Model Y orders in Malaysia are up 37% compared to all of 2024, highlighting how quickly Tesla is scaling its operations and market share in Southeast Asia.
Tesla Tops the Charts in Hong Kong
In Hong Kong, Tesla became the top brand in private vehicle registrations in May 2025 with 1,319 units registered. The brand accounted for 30% of all new vehicle registrations, and a remarkable 40.3% share among electric vehicles, in a market where EVs made up 74.4% of all new registrations that month.
Tesla’s performance in Hong Kong signals a strong lead in one of the world’s most electrified urban centers, with the Model 3 and Model Y leading adoption.
Tesla’s strong sales in Hong Kong and Malaysia, following the launch of the new Model Y, follow a similar trend in other Asia-Pacific markets.
In Australia, Tesla sales rebounded sharply with 3,580 deliveries in May, marking a 123% year-over-year increase. The new Model Y played a critical role in this recovery, giving Tesla its best month in nearly a year and helping reduce the brand’s year-to-date decline to just 27%, compared to a 58% drop at the end of April.
In South Korea, Tesla made history by becoming the top-selling imported car brand in May for the first time. With 6,570 units sold, Tesla surpassed Mercedes-Benz and BMW, driven almost entirely by the success of the Model Y, which accounted for 6,237 registrations. The Model Y not only became the top-selling EV in Korea but also the best-selling imported vehicle overall.
These gains stand in contrast to Tesla’s performance in several European markets, where sales have declined significantly in 2025. In Germany, Tesla registrations were down 77% year-over-year in May. The company also saw sharp drops in Spain, Portugal, and Sweden.
