China's BYD saw a 21% increase in second-quarter electric vehicle sales, closing the gap with Tesla after losing the top EV vendor title in the first quarter. BYD sold 426,039 EVs from April to June, nearly 12,000 fewer than Tesla's estimated deliveries. Tesla, on the other hand, is expected to report a 6% drop in deliveries due to competition in China and slow demand for its models. With Barclays predicting Tesla's biggest-ever drop in deliveries this quarter, BYD may reclaim the EV championship. BYD's steady growth in sales, along with rising demand for EVs and hybrids in China, is driving their success. Chinese EV makers are benefitting from price cuts and a shift in consumer preferences, with new energy vehicles accounting for a significant portion of total car sales in the country.