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Home Technology Automotive Technology

Tesla Faces Steep Sales Decline in Europe Despite EV Market Growth

Tesla’s European Sales Drop by Half Amid Growing Backlash

by pinkfloyd
May 27, 2025
in Automotive Technology, Business, Europe, Global Business, Global Trades, Technology, World News
0
Tesla Struggles in Europe While EV Market Continues to Grow - AP Photo/David Zalubowski, File

Tesla’s Factory Shutdowns and Backlash Weigh on European Sales - AP Photo/David Zalubowski, File

Tesla’s European Sales Plummet by Half as Backlash Against Elon Musk Deepens

LONDON — Tesla’s sales across Europe took a sharp dive last month, dropping nearly 50%, even as the overall electric vehicle market in the region kept growing. The stark contrast signals that the backlash against Tesla’s CEO Elon Musk—mainly over his controversial far-right political views—is hitting the brand hard.

According to the European Automobile Manufacturers’ Association (ACEA), Tesla sold just 7,261 vehicles in 32 European countries in April, down from 14,228 in the same month last year. Meanwhile, sales of battery-electric vehicles from all other manufacturers surged by about 28%. Gasoline and diesel car sales continued to decline, highlighting the shift toward electric cars—but Tesla isn’t benefiting.

This trend confirms earlier reports from countries like Sweden, the Netherlands, and Denmark, where Tesla sales had already shown a steep decline earlier this month.

What’s Driving Tesla’s Decline?

Tesla’s falling numbers aren’t just about politics. While Musk’s outspoken views have sparked protests and boycotts, the company faces several other challenges:

  • Aging Model Lineup: Tesla’s current vehicles are getting older, and competitors are catching up with fresh, appealing designs.
  • Rising Competition: Chinese electric vehicle brands, known for affordable prices, are gaining ground fast. For example, SAIC—owner of UK-based MG with its low-cost EV models—saw a 54% sales jump in Europe last month.
  • Factory Shutdowns: Tesla paused production at its factories for several weeks this year to upgrade its popular Model Y SUV, limiting supply and hurting sales.
  • Trade Tensions: The ongoing U.S.-EU trade tensions, including threats from former President Trump to impose hefty tariffs on European goods, have soured European consumers on American brands.

Tesla’s Overall European Performance

Looking at the first four months of 2025, Tesla’s European sales are down roughly 39%, totaling around 61,320 vehicles sold. In contrast, Europe’s overall auto market remained mostly steady, showing little change during the same period.

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Interestingly, despite the economic uncertainty worldwide, overall car sales in the European Union nudged up 1.3% in April compared to last year, indicating a market slowly recovering.

What This Means for Tesla

Tesla’s deep sales slump in Europe suggests the company is losing its grip on a critical market. The growing backlash against Elon Musk’s political stances, combined with stiff competition and production challenges, is driving customers toward other brands.

While the European electric car market continues to expand, Tesla’s struggle shows that even a market leader can face significant hurdles when public opinion shifts and competitors innovate.

Source: AP News – Tesla’s monthly sales in Europe plunge by half, signaling backlash against Musk runs deep

pinkfloyd

pinkfloyd

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