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3w ago

Tesla Faces Sharp European Sales Decline as Competition and Backlash Grow

Tesla's April 2025 registrations plunged up to 81% in key European markets, driven by Elon Musk's political controversies, rising competition, and production challenges.

FILE - Tesla vehicles line a parking lot at the company's Fremont, Calif., factory on Sept. 18, 2023. (AP Photo/Noah Berger, file)
In an aerial view, Ford Broncos are seen for sale on a lot at a dealership on April 18, 2025 in Austin.
White House senior advisor, Tesla and SpaceX CEO Elon Musk attends a Cabinet meeting at the White House on April 30, 2025 in Washington, DC.

Overview

  • Tesla's April 2025 sales in Sweden dropped 80.7% year-on-year to 203 units, the lowest level since October 2022, despite an 11% rise in overall vehicle registrations in the country.
  • Major European markets, including France, the UK, Denmark, and the Netherlands, also reported Tesla sales declines ranging from 59% to 74%, contrasting with broader EV market growth.
  • Tesla's Model Y refresh caused production disruptions, further weakening its position against newer and often cheaper EV models from Chinese and legacy automakers like BYD and Volkswagen.
  • Consumer protests against Elon Musk's political activities have damaged Tesla's brand in Europe, with surveys indicating reduced willingness to purchase Tesla vehicles.
  • Tesla's board chair, Robyn Denholm, denied rumors of a CEO search, reaffirming confidence in Musk's leadership despite mounting challenges and declining market share.