Tesla is going through a rough patch in Europe, with its April sales figures showing a sharp drop in key markets. The electric vehicle (EV) giant, once a dominant force in the European EV landscape, saw its sales plunge across several countries, sparking concern about its future in the region.
According to newly released data, Tesla’s car sales fell by a staggering 80.7% in Sweden — its lowest level since October 2022. In the Netherlands, the decline was nearly as bad, with a 73.8% drop compared to April 2024. Sales also slid significantly in Denmark (67.2%), France (59.4%), and Portugal (33%).
Only Norway showed a glimmer of hope, where Tesla’s sales increased by 11.8%, selling 976 vehicles. But this small success isn’t enough to offset the losses in other markets.
The overall picture is clear: while Europe’s electric vehicle market grew by 28% in the first quarter, Tesla’s sales declined by 37.2%.
So, what’s behind Tesla’s European meltdown?
One major factor is increased competition. Chinese EV brands are expanding rapidly in Europe, offering competitive features at lower prices. Meanwhile, legacy automakers like Volkswagen, BMW, and Mercedes are upping their electric game, offering attractive alternatives to Tesla’s aging lineup.
“Tesla’s once-dominant technology is now being matched or surpassed by both traditional automakers and newer Chinese rivals,” said Andy Leyland, co-founder of supply chain advisory firm SC Insights.
Another issue is Tesla CEO Elon Musk himself. Musk’s public support for far-right politics in Europe, coupled with his controversial role in advising the Trump administration, has sparked protests and vandalism across Tesla showrooms and charging stations. A recent survey by Electrifying.com revealed that 59% of respondents said Musk’s political views made them less likely to buy a Tesla.
Even Tesla’s revamped Model Y, which is set to begin deliveries in June in Germany, the UK, France, and Italy, may not be enough to turn things around immediately. The company is betting that the updated Model Y can win back customers, but analysts believe it could take months to see any real impact in sales.
Financially, Tesla is also under pressure. The company’s first-quarter auto revenue dropped by 20%, and net profit tumbled by 71%, both figures falling short of Wall Street’s expectations. While Musk recently said he would shift focus back to running Tesla, concerns remain about the company’s direction and leadership.
Despite these challenges, Tesla still has a strong brand and a loyal customer base. But if it wants to hold on to its place in the European market, the company may need more than a facelift for the Model Y. It needs to rebuild trust, refresh its product line, and possibly, reframe its public image — starting from the top.
