Tesla Sales collapse 45% in Europe, while the EV market explodes 37%

The decline could be due to the reputation of Elon Musk and the recent introduction of the model updated

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Tesla is struggling to sell cars in Europe, sales dropped by 50.3% in the EU and 45.2% in the combined EU, EFTA (Iceland, Liechtenstein, Norway and Switzerland) and markets British in January 2025 compared to the same last month compared to the last month year. Surprisingly, this decline occurs at a time when BEV sales throughout Europe have jumped by 37%, showing that zero -emission vehicle demand is not the problem.

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According to data from the European Automobile Manufacturers’ Association (ACEA), Tesla sold 9,945 units in January 2025, against 18,161 in January 2024. The drop was particularly serious in Germany, where sales fell 59.5% Only 1,277 units, and in France, with a decrease of 63% to 1,143 units.

To put this in perspective, Tesla’s performance was so poor that even China Saic Motors managed to sell more than twice as many cars in January, with 22,994 deliveries.

What’s behind Tesla’s fall?

Several factors could explain Tesla’s disappointing performance. One of the reasons probably is the growing negative advertising surrounding the controversies of Elon Musk, including the infamous salvation and its frank political opinions, which aroused a debate across Europe. His support for the far-right AFD party of Germany and an activist imprisoned in the United Kingdom would have damaged his public image, which could in turn have an impact on the perception of the Tesla brand in the region.

Another contributing factor could be the calendar of updating the Y model. The bestseller obtaining a significant refreshment for 2025, many customers could remember, leading to a reduction in outgoing version demand. In addition, Tesla had to reorganize its production lines for the new Y model, which may have caused temporary disturbances of the offer.

Inventory shortages could also be to blame. According to BloombergTesla could face low stock levels on certain markets due to an aggressive thrust to increase the end of year numbers in December 2024.

BEV sales hover through Europe

Despite Tesla’s difficulties, the overall demand for fully electric vehicles in Europe continues to grow. ACEA reports that 124,341 BEV were sold in the EU and 166,065 units in the wider region of Europe + EFTA + United Kingdom in January 2025. This represents a healthy market share of 16.7% In Europe + EFTA + United Kingdom, against 11.9% in January 2024.

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However, the type of favorite motorcycle group of the region is the HEV (self-load hybrid) with a market share of 34.9%, follow-up of petrol (29.2%). On the other hand, the Diesel market shares (8.8%) and PHEV (7.6%) decreased compared to last year, which has now lagged behind the BEV.

In the EU only, the combined market share of petrol and diesel cars fell to 39.4% in January 2025, against 48.7% the previous year. Overall, new car records in the EU decreased by 2.6% to 831,201 units, largely due to the drop in sales on key markets such as France (-6.2% ), Italy (-5.8%) and Germany (-2.8%).