Tesla is experiencing a significant downturn in electric vehicle (EV) sales across several key European markets, even as the company begins delivering a refreshed version of its best-selling Model Y.
In April, Tesla registered just 512 new vehicles in the United Kingdom, marking a steep 62% year-on-year drop, according to figures released by the Society of Motor Manufacturers and Traders. Similar declines were reported in Denmark, the Netherlands, and Sweden, where sales fell by at least two-thirds.
The sales slump is unfolding across eight of Europe’s ten largest EV markets and continues a broader downward trend for the company, which already reported its weakest quarterly sales performance since 2022. Tesla’s production capacity also faced setbacks earlier this year due to factory retooling, including changes at its German plant, which impacted output.
Despite these challenges, Tesla has launched a redesigned Model Y SUV—the company’s most popular vehicle—in an effort to reinvigorate interest and recover market share. Estimated deliveries of the new model are expected to begin in June, but it may take time before sales data reflect its impact.
In the UK, Tesla’s April sales totaled just 536 units, down from 1,404 the same month the previous year. The company’s share of the UK’s EV market now stands at 9.3% for the year to date. This sharp drop comes even as the overall British market for battery-electric vehicles grew by 6.9% in April, although this represented a slower growth rate compared to previous months.
Other automakers are capitalizing on the shift. Volkswagen saw a 194% surge in battery-electric vehicle sales in the UK, reaching 2,314 units. Chinese automaker BYD also expanded rapidly, with registrations climbing 311% to 1,419 units.
Beyond production and market dynamics, Tesla’s brand has faced increased scrutiny in Europe. CEO Elon Musk’s political affiliations and public support for controversial figures, including US presidential candidate Donald Trump, have sparked backlash. In some regions, this has translated into protests and vandalism at Tesla facilities. Following disappointing global sales and profits in the first quarter, Musk recently announced he would reduce his political involvement and focus more on company operations.
Tesla shares have reflected investor concern, dropping as much as 1.9% in pre-market trading. The stock has declined approximately 42% from its high in December 2024.
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