Credited from: BUSINESSINSIDER
Tesla's sales in Europe faced a drastic decline in April, dropping 49% compared to the same month last year, according to data from the European Automobile Manufacturers' Association (ACEA). The company sold 7,261 vehicles across 32 European countries, down from 14,228 in April 2024. This slump occurs despite overall electric vehicle sales rising 28% in the region, showcasing the challenges Tesla is facing, particularly amidst growing competition from both European and Chinese brands, according to Bangkok Post and Reuters.
The decline in Tesla's sales is impacted considerably by heightened competition, notably from Chinese manufacturers like BYD, which reported a staggering 169% increase in its own sales, reaching 7,231 units in April. Additionally, the Chinese brand SAIC saw a 54% rise in sales. This trend emphasizes a significant shift in the market dynamics as Tesla's once-commanding lead in electric vehicles is challenged, according to HuffPost and Africanews.
The decline in Tesla's sales has been attributed not only to competitive pressures but also to political backlash against CEO Elon Musk, whose controversial views and actions have drawn criticism and protests, hindering the brand's public perception. Furthermore, Tesla's aging model lineup and production disruptions, particularly during upgrades to the Model Y, have compounded these challenges, as seen in reports from Newsweek and TRT World.
In contrast, the overall electric vehicle market in Europe is showing growth. Sales of battery-electric vehicles saw a rise of 26.4%, while hybrid cars have also gained a foothold, dominating the market with a 20.8% increase year-to-date. This suggests changing consumer preferences that favor hybrid models over fully electric ones, highlighting the shifting landscape in the automotive sector, which is further detailed by India Times and CBS News.