The luxury car market in the United States witnessed a remarkable surge in sales in the first quarter of 2021, with a conspicuous rise in demand for traditional luxury car brands, coupled with the notable emergence of Tesla as the leader in the luxury electric car segment. In comparison to traditional luxury car brands like BMW, Mercedes-Benz, and Audi, Tesla has gained a significant foothold in the luxury electric car market, surpassing them with Q1 sales in the US that were more than double those of BMW.
Tesla's strong performance in the luxury electric car market was reflected in the delivery of 69,200 vehicles in the first three months of 2021, representing a 10 percent increase from the previous year. Meanwhile, BMW secured a 12 percent rise in sales, with over 14,000 more vehicles sold than No. 3 Lexus. BMW's commanding 13 percent share of the luxury segment enabled the automaker to extend its lead over its German rival, Mercedes-Benz, by over 20,000 vehicles.
Despite a 1.2 percent drop in sales for Mercedes-Benz in Q1, the brand's top-end models, including its AMG performance models and G-Class luxury offroader, experienced a strong demand, with a 55 percent and 40 percent surge in deliveries, respectively. Audi, Volvo, Porsche, Genesis, and Infiniti also witnessed positive sales growth in the quarter.
As the demand for electric cars continues to rise, it will be intriguing to observe how traditional luxury car brands adapt to the evolving market trends and Tesla's dominance in the luxury electric car market.