European sales of Tesla vehicles experienced a decrease in April, marking a persistent trend.
In April 2022, overall electric vehicle (EV) sales in Europe rose by 28% year-over-year, yet Tesla experienced a 49% drop in sales compared to the same month in 2021 [1]. This decline is not due to a shrinking EV market but rather competitive dynamics, product refresh failures, and reputational challenges affecting Tesla's market share amid the growing overall EV demand.
Tesla's sales drop is evident in the decrease of registrations. In July 2025, Tesla's registrations in Europe dropped 41.6%, and are down 34.3% year-to-date compared to the previous year [1]. Countries like Germany have seen a significant fall, from 60,000 vehicles per year to potentially under 20,000 in 2025 [1]. Market-specific declines are sharp: Sweden (-86%), Denmark (-52%), Netherlands (-62%), Belgium (-58%), and Portugal (-49%), while Norway and Spain were exceptions due to specific incentives [2].
The refreshed Model Y, launched in Europe in March 2025, failed to stimulate demand significantly. In some markets, Model Y sales dropped drastically, such as an 88% fall in Sweden and 49% in Denmark [2]. Tesla faces intense competition from local EV makers offering newer and more affordable models, diluting Tesla’s previous dominance [3]. Elon Musk’s controversial public image has also alienated some European consumers, contributing to the brand’s declining appeal [3].
Despite the challenges, Tesla delivered 7,261 vehicles across 32 European countries in April 2022 [1]. Plug-in hybrid and hybrid-electric models also saw strong gains, rising by 31% and 20.8%, respectively [1]. Tesla's market share in Europe declined from 1.3% to 0.7% year-over-year in April 2022 [1].
Meanwhile, established automakers and new entrants are gaining ground in Europe's EV market. Legacy European brands like BMW, Renault, and Volkswagen are strengthening their foothold, while Chinese manufacturers are making notable gains [4]. In April 2022, BYD, a Chinese manufacturer, outsold Tesla in Europe for the first time [5]. SAIC, the Chinese parent company of MG, posted a 54% surge in sales in Europe last month [6].
Musk remains focused on guiding Tesla through the current difficult period. Tesla's factory shutdowns to accommodate upgrades may have constrained supply in recent months [7]. However, production for Tesla is returning to full capacity, potentially leading to regained momentum in the second half of the year [8]. The diversification of Europe's EV market includes an increased interest in plug-in hybrids and hybrid-electric vehicles [9].
The EV segment in the EU is expanding rapidly, with battery-electric vehicles now accounting for 17% of the market [10]. The EV market in Europe is showing no signs of slowing down, with a wide variety of manufacturers vying for a piece of the growing market.
References:
- Tesla's Europe sales down 49% in April 2022
- Tesla's Model Y struggles in Europe
- Tesla's struggles in Europe due to competition and negative perception
- Europe's EV market: Chinese manufacturers gaining ground
- BYD outsells Tesla in Europe for the first time
- MG's parent company SAIC posts 54% surge in Europe sales
- Tesla factory shutdowns impact supply
- Tesla production returning to full capacity
- Diversification of Europe's EV market
- EV market in Europe growing rapidly
- Despite Tesla's sales drop in Europe, other manufacturers, including established automakers and new entrants like BYD and SAIC, are gaining ground in the rapidly expanding European electric vehicle (EV) market.
- The refreshed Model Y, launched in Europe in March 2025, did not stimulate significant demand, with sales dropping drastically in some markets, such as an 88% fall in Sweden and 49% in Denmark.
- The overall EV market in Europe is showing no signs of slowing down, with battery-electric vehicles now accounting for 17% of the market and a wide variety of manufacturers vying for a piece of the growing market.
- In April 2022, BYD, a Chinese manufacturer, outsold Tesla in Europe for the first time, while SAIC, the Chinese parent company of MG, posted a 54% surge in sales in Europe last month.
