Tesla sales in Europe fall during 5 last months

In May 2025, Tesla continued to record a decline in sales in Europe. According to the European Automobile Manufacturers’ Association (ACEA), the company’s sales in the EU, the UK and the European Free Trade Association countries decreased by 27.9% compared to May last year – to 13,863 cars. This is the fifth consecutive month that the brand has shown negative dynamics in the region. Tesla’s market share fell from 1.8 to 1.2%.

Against the background of these data, the company’s shares fell by almost 5%. Since the beginning of the year, the value of the securities has decreased by more than 18%. Analysts note that among the reasons are not only increasing competition, but also the political activity of the company’s head Elon Musk, which has caused criticism and protests near Tesla showrooms in a number of European countries.

Growing pressure from Chinese automakers is also affecting Tesla’s positions. BYD sold almost as many cars in Europe as Tesla in May, and outsold it for the first time in April. European consumers are increasingly choosing more affordable Chinese electric cars despite new EU import tariffs. Overall, Chinese brands sold 65,808 cars in Europe in May, more than double the year-ago figure, giving them a 5.9% market share.

In an attempt to strengthen its position, Tesla has updated the Model Y. In Norway, in particular, the model has already shown increased interest from buyers. However, the company is facing increasing pressure from both traditional carmakers and ambitious Chinese manufacturers, which is affecting its prospects in Europe.