Tesla Suffers Setbacks in Europe in April: Double-Digit Declines in Six Major Markets, with the UK Hitting a "Two-Year Low" and Germany Nearing a "50% Drop"

Tesla faced boycotts in Europe in April due to Musk's political views, with sales plummeting across the continent. Sales in Sweden dropped sharply by 81% YoY, while sales in Germany nearly halved.

On Tuesday, media reported that Tesla was facing severe challenges in Europe, with sales in its six major EV markets experiencing double-digit declines. This marked the fourth consecutive month of sales declines in most parts of Europe.

Double-digit declines in six major markets, with the UK hitting a "two-year low" and Germany nearly "halving"

Among them, sales in France fell by 59% YoY, in Sweden by 81%, in the Netherlands by 74%, in Switzerland by 50%, in Portugal by 33%, and in Denmark by 67%.

Moreover, Tesla's performance in Germany, Europe's largest automotive market, was equally dismal. Data from the German Federal Motor Transport Authority (KBA) showed that new car registrations for Tesla in Germany in April plummeted by 46% YoY, almost reaching a 50% decline. From January to April, Tesla's auto sales in Germany fell by 60.4% YoY to 5,820 units.

Tesla's sales in the UK market also hit a two-year low, with deliveries in April falling by 62% compared to the same period last year. Tesla's market share in the UK EV market so far this year was 9.3%, down from 12.5% a year ago.

The main exceptions were Norway and Italy, where Tesla's sales increased by 12% and 29% YoY, respectively. However, overall auto sales in Italy still declined by 4% in the first four months.

However, as Europeans boycotted Tesla and turned to purchasing more Chinese EVs, BYD's sales in Germany surged more than eightfold in April to 1,566 units, with total sales since the beginning of the year increasing nearly fivefold to 2,791 units.

The collapse of the European market is not an isolated incident. This trend mirrors Tesla's global struggles, with the company's global deliveries in Q1 declining by 8.5% YoY, and its stock price falling by about 30% since the beginning of the year.

Tesla faces European boycotts over Musk's political stance

This decline is linked to Musk's role in the Trump administration and his support for European right-wing political parties.

Earlier this year, after Musk expressed support for parties including the far-right Alternative for Germany (AfD) in Germany, the "Boycott Tesla" movement emerged.

So far this year, two Tesla factories in Stockholm and Malmö, Sweden, as well as a Tesla branch in Lausanne, Switzerland, including the vehicles there, have been splashed with orange paint.Demonstrations against Musk and Tesla erupted in various cities in the Netherlands, with protesters also gathering outside Tesla showrooms in Portugal and Denmark. In Toulouse, France, 12 Tesla vehicles were set ablaze.

In addition to the backlash against Musk and his political views, the decline in Tesla's sales in Europe may be linked to intensified competition in the EV market, particularly from Chinese companies. Tesla's aging car model lineup has struggled to compete with the new-type EVs from rivals like BYD, which offer cutting-edge charging speeds and lower prices.

Professor Peter Wells, Director of the Centre for Automotive Industry Research at Cardiff University, stated:

"In terms of the product lineup, we haven't seen the level of innovation that Musk would have hoped for, and I think that's a significant part of their problem."

Regarding the revamped Model Y, Tesla's websites in Germany and the UK indicate that deliveries are expected to commence in June, but it will take several months of sales data to determine whether the updated version has won over customers.