EU Electric Vehicle Sales Surge by 34% in January, Tesla Sees Dramatic Decline

Electric vehicles now account for 15% of EU market share, but Tesla registrations drop by half as traditional automakers gain ground.

Electric vehicle registrations in the EU increased by 34% in January 2025 compared to the same period last year, reaching 124,341 units sold.
Volkswagen retained its position as the EU market leader across all vehicle types, with a 6% increase in registrations, while Tesla's sales fell by 50% to 7,517 vehicles.
The overall EU car market shrank by 2.6% year-over-year in January 2025, with a total of 831,201 new vehicles registered.
Analysts attribute the EV sales growth to narrowing price gaps between electric and traditional vehicles, as well as stricter CO₂ fleet emission limits incentivizing automakers to push EV sales.
Challenges for sustained growth include limited charging infrastructure, especially for renters, and concerns over affordability despite new, lower-cost EV models entering the market.