(Reuters) -Tesla's electric vehicle registrations in California fell 21.1% in the second quarter, according to industry data, indicating growing challenges for the Elon Musk-led automaker in the crucial U.S. market.

In the April-June period, the Texas-based automaker recorded 41,138 registrations in the state, down from 52,119 units in the same period of 2024, according to data from the California New Car Dealers Association.

Still, the Model Y crossover and the Model 3 sedan were the top two vehicles in the zero-emission and hybrid vehicle category sold this year through June.

But sales of hybrid vehicles were catching up, the industry body said.