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Tesla’s European Sales Still Sluggish Despite Musk’s “Major Rebound” Prediction
New York – Despite Elon Musk’s earlier predictions of a “major rebound,” Tesla sales in Europe continue to lag, according to recent data. July sales figures show a 40% drop across the 27 EU nations compared to the same period last year, even as electric vehicle sales overall surged by 39%.
This downturn contrasts sharply with the performance of Chinese competitor BYD, which saw continued growth, capturing 1.1% of the total car market share in July compared to Tesla’s 0.7%. Tesla’s stock dipped 1.5% following the release of this data.
Several factors appear to be contributing to Tesla’s struggles. Musk’s controversial political pronouncements, including support for far-right candidates and criticism of European leaders, have sparked widespread backlash, including protests and public demonstrations.
Additionally, Tesla is still awaiting European regulatory approval for its advanced driver-assistance features, a key selling point for the brand. Musk had previously anticipated approval by March of this year.
Temporary factory closures earlier this year for retooling to produce a new version of the Model Y have also impacted sales.
While Tesla’s overall sales figures in the EU for July dropped to 6,600 from 11,465 the previous year, the company hopes the introduction of more affordable models in the final quarter of 2025 will help revitalize sales. Year-to-date figures through July reveal a 44% decline for Tesla, though the company maintains a slight edge over BYD in overall European market share for the period (1.2% versus 0.9%).