The world's richest car company worth 5 times more than Ferrari, VW and Mercedes combined
The car industry has always been full of money. For decades, manufacturers have built global empires by selling millions of vehicles and expanding their brands around the world. But things are changing fast. Electric vehicles, new trade rules, and rising competition from China have forced many carmakers to rethink how they do business.
These changes have also affected which companies are now the most valuable. One electric car giant is now worth more than five times as much as three of Europe’s biggest car brands combined. Ferrari is currently worth around £69.7 billion, Volkswagen is valued at £45.1 billion, and Mercedes-Benz is worth £44.3 billion. Altogether, the three companies are valued at just over £159 billion.
By comparison, Tesla is now worth an estimated £868 billion ($1.1 trillion).
According to a report by US News, the company has grown into the most valuable carmaker in the world thanks to its focus on electric vehicles, software, and new battery technology.
While others have struggled with falling demand and slower sales, Tesla continues to invest in cheaper models, self-driving features, and new factories.
Other carmakers are trying to catch up. Mercedes-Benz recently announced new electric models and plans to build some vehicles in the US to avoid rising tariffs.
Volkswagen is also working on more affordable EVs and has launched a partnership with US startup Rivian to improve its technology.
But global challenges remain. Tariffs on Chinese electric vehicles have made it harder for some companies to compete on price, and many customers are having second thoughts about switching to electric cars.
A recent Mobility Consumer Pulse Survey by McKinsey & Company found that nearly half (46%) of EV owners in the US would not buy one again, mainly because of range anxiety and poor resale value.
Even Ferrari, which plans to launch its first fully electric car later this year, is facing pressure.
The car will cost more than £420,000 and will be built at a new factory near its base in Maranello, Italy.
Despite ups and downs, Tesla’s value has remained far above its rivals.
While it faces strong competition from Chinese brands like BYD and Xiaomi, no other carmaker comes close in terms of market value.
The 10 richest car companies in 2025 by market capitalisation:
- Tesla - £868 billion
- Toyota - £189 billion
- Xiaomi - £134 billion
- BYD - £131 billion
- Ferrari - £69 billion
- Volkswagen - £45 billion
- Mercedes-Benz - £44 billion
- BMW - £42 billion
- General Motors - £38 billion
- Maruti Suzuki - £37.5 billion
Daily Express
