Tesla has seen its European sales fall by a striking 49% in April 2025, marking the fourth month in a row of declining numbers. Reuters reported these figures, showing the stark decrease in Tesla's presence in the region's competitive electric vehicle market.
Multiple factors are playing into this downturn. Brand image concerns have surfaced as CEO Elon Musk's political activities, specifically his support of Germany's far-right Alternative for Germany (AfD) party, have led to significant consumer backlash. Euronews highlights that this backlash has hurt the company's appeal, particularly among European buyers. Meanwhile, competition is heating up with Chinese automaker BYD overtaking Tesla for the first time in European electric vehicle sales; BYD sold 7,231 units compared to Tesla's 7,165 last month.
In addition to these challenges, Tesla's Model Y production has slowed due to upgrades, affecting availability. The company's market share has also dipped from 1.3% to 0.7% during the same period, signaling a broader shift. Tesla now faces the task of adjusting its strategies to overcome these hurdles, including enhancing its product lineup and addressing the competitive pressures in the electric vehicle landscape.