Tesla vehicle registrations across the entire European Union, Britain and the European Free Trade Association plummeted in May. They added up to a mere 13,863 total units. That is a 27.9% drop from January 2022. The electric vehicle manufacturer has stumbled into reduced sales for the last five months in succession. Nowadays, customers are shunning all of the above for the cheaper alternatives increasingly brought to them by Chinese automakers.
Tesla, according to the latest data from the European Automobile Manufacturers Association (ACEA), has been dealt a crushing sales blow. At the same time, consumers are looking to easy-to-afford electric vehicles from China. In May alone, Chinese manufacturers sold an impressive 65,808 units. This increase more than doubled their market share within the region, increasing it to 5.9%. This trend marks a significant shift in the electric vehicle market as consumers gravitate towards more affordable options.
The recent downturn in Tesla sales should be at least partially understood in the context of brand and reputational challenges currently facing the company. CEO Elon Musk’s polarizing public persona and political engagements have occupied the media spotlight. In effect, Musk has spent almost $300 million to help re-elect American U.S. president Donald Trump. His proposals to eliminate federal agencies have earned scorn from millions. These moves would likely have turned off even more European prospective customers, where politics can play a much bigger role in the decision to buy.
Failure to launch
Undeterred by repeated failures, Tesla’s Model Y has not surprisingly, taken the market by storm wherever it’s available. In Norway, it’s been tremendously successful at increasing new car sales. The general trend shows an intense fall in Tesla’s market share in Europe. Consumers are finding more attractive Chinese alternatives that offer them better price competitiveness and protection.
A gaggle of protestors descended on a Tesla showroom in London’s Park Royal borough. This flyover was shot on at the 12th of April 2025. This protest was meant to protest Musk and Tesla’s union busting policies, echoing the increasing anger around the company’s brand.