Tesla car sales in Europe took a major hit in April 2025, highlighting the challenges the electric vehicle maker is facing in the region. According to data from the European Automobile Manufacturers’ Association (ACEA), Tesla car sales in Europe fell by a staggering 49% compared to the same month last year. The company sold just 7,261 vehicles in the region during April.
This sharp decline comes even as the overall market for battery electric vehicles in Europe grew by 34.1% year-on-year, suggesting that Tesla is losing market share amid growing competition and reputational setbacks.
Tesla Struggles Amid Rising EV Demand and Political Controversy
While demand for electric cars in Europe is rising, Tesla car sales in Europe are going in the opposite direction. Industry experts point to two main issues: reputational damage linked to CEO Elon Musk’s political involvement and increased competition from both legacy carmakers and newer entrants, particularly from China.
In March, Tesla dealerships across Europe saw protests sparked by Musk’s close ties with former U.S. President Donald Trump. His political involvement has drawn criticism in a region that values environmental and social governance, potentially pushing consumers toward other electric vehicle brands.
Weak Line-Up and No Hybrids Add to Tesla’s Woes
Another factor impacting Tesla car sales in Europe is its ageing vehicle line-up. Although Tesla introduced an upgraded version of its Model Y SUV earlier this year, the company has not launched a new mass-market vehicle in some time. This has allowed rivals to catch up—and in some cases, overtake.
For the first time, Chinese automaker BYD outsold Tesla in Europe with its all-electric models. European buyers are also showing a clear preference for hybrid electric vehicles—cars that combine battery power with traditional fuel.
These hybrids made up more than 35% of all car sales in Europe in April, according to ACEA. Tesla, which only sells fully electric vehicles, has no hybrid models in its portfolio.
Investors Question Musk’s Commitment to Tesla
Concerns over CEO Elon Musk’s focus are also impacting investor confidence. Musk has been actively involved in advising Donald Trump and leading the so-called Department of Government Efficiency (DOGE). Although he mentioned in Tesla’s recent earnings call that his role with DOGE will be scaled back by the end of May, he plans to still devote “a day or two per week” to government work.
In a public speech, Musk said he remains committed to leading Tesla for at least the next five years, but this hasn’t eased concerns entirely. Analysts suggest that consistent leadership is crucial for the company, especially at a time when Tesla car sales in Europe are declining.
Conclusion: Tesla Faces a Turning Point in Europe
The 49% drop in Tesla car sales in Europe during April is more than just a temporary blip—it reflects deeper issues facing the company. From political controversies and outdated models to a lack of hybrid options and strong competition from BYD, Tesla needs to rethink its European strategy.
With investor pressure mounting and market dynamics shifting fast, the coming months will be critical for the U.S. EV giant’s future in Europe. If you want more such business updates, then follow 10X Time News.
