Tesla’s grip on the European electric vehicle (EV) market is slipping. The company saw a dramatic 53% drop in new vehicle registrations across the European Union in April compared to the same month last year, according to data released Tuesday by the European Automobile Manufacturers’ Association (ACEA). In the broader European region — including the UK, Norway, and Switzerland — sales plummeted by 49%.
This marks the fourth straight month of year-over-year sales declines for Tesla in Europe, highlighting mounting challenges for the automaker. These include growing criticism of CEO Elon Musk’s political stances and increasing pressure from Chinese EV manufacturers.
Musk’s recent public support for far-right political figures in Germany and the UK, along with his involvement in Donald Trump’s political activities in the U.S., has sparked backlash among European consumers. Protests and boycotts have followed, damaging Tesla’s image in the region.
Adding to Tesla’s woes, Chinese competitor BYD surpassed Tesla in European battery electric vehicle (BEV) sales for the first time in April, according to research firm JATO Dynamics. While BYD sold just 66 more vehicles than Tesla that month, analysts say the milestone is significant. BYD only started expanding beyond Norway and the Netherlands in late 2022.
“This is a pivotal moment for the European car market,” said Felipe Munoz, global analyst at JATO. “Tesla has dominated the BEV space here for years, but now faces real competition from newer entrants like BYD.”
What makes this more striking is that Tesla’s losses come even as the overall EU EV market is growing. From January to April 2025, BEV sales across the EU rose more than 26%, while Tesla’s performance moved in the opposite direction. Unlike competitors, Tesla exclusively sells BEVs, whereas companies like BYD offer both battery-only and hybrid models.
Tesla, which does not release monthly or market-specific sales data, declined to comment on the figures.
The European setback follows a tough global quarter for the company. Tesla recently reported its first annual sales decline for 2024, and its steepest quarterly drop in global sales on record. Net income also plunged 71% in the first quarter, underlining the depth of the challenges ahead.
