Telsa sold 63,238 from its plant in Shanghai, according to the China Passenger Car Association. That’s down about 11.5% year over year.

Tesla’s sales have dropped by double digits in California, the most important EV market in the US, all while the rest of the EV market is growing.

Competition between Tesla and Chinese domestic rivals is intensifying as the U.S. firm continues to launch incentives to keep its cars attractive.

California’s push to electrify its cars is facing a potentially serious problem: People aren’t buying electric cars fast enough.

Douglas McIntyre, editor-in-chief at Climate Crisis 24/7, reports that EV sales in California—America’s largest EV market—grew by just 1% last year. With the state leading the push for EV adoption, this stagnation raises concerns for the rest of the country.