Tesla’s EU Sales Plunge Amid Rising Competition, Political Backlash

(MENAFN) Tesla’s sales in the European Union fell sharply in 2025, dropping 37.9% compared with the previous year, according to data from the European Automobile Manufacturers’ Association.

The US electric vehicle giant sold 150,504 units in the EU last year, down from 242,436 in 2024, while its market share declined to 1.4% from 2.3%. In December alone, Tesla’s EU sales fell 31.9% year-on-year to 21,485 units. Across Europe—including the EU, the European Free Trade Association, and the UK—Tesla’s sales decreased by 26.9% for the year, and by 20.2% in December.

Despite Tesla’s decline, overall battery electric vehicle sales in the EU surged 29.9% in 2025, reaching 1.88 million units. Tesla’s main competitor, Chinese automaker BYD, saw its EU sales jump 227.8% year-on-year to 128,827 units, boosting its market share to 1.2% from 0.4% the previous year.

Tesla’s falling European performance has been attributed to a combination of factors, including growing competition from Chinese EV brands, Elon Musk’s controversial political positions, and his high-profile involvement in European political debates.

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