Tesla's European Market Share Drops to 10.3% as EV Competition Intensifies

Sales decline by 42.6% in 2025, with Model Y transition and growing competition from Chinese and traditional automakers cited as key factors.

Tesla's market share in Europe's BEV market has fallen sharply from 21.6% in 2024 to 10.3% in 2025, according to ACEA data.
Year-to-date sales in Europe have dropped by 42.6%, with fewer than 17,000 vehicles sold in February 2025 compared to over 28,000 a year earlier.
The company's limited product lineup and the ongoing phase-out of the current Model Y for a refreshed version have temporarily impacted sales.
Competition from traditional automakers and Chinese EV brands offering more affordable models continues to challenge Tesla's position in the region.
Analysts have downgraded Tesla's Q1 2025 delivery expectations, projecting a drop from 445,000 to 335,000 vehicles globally.