Tesla Sales in Europe Decline for Seventh Consecutive Month

News

Tesla Sales in Europe Decline for Seventh Consecutive Month

08.08.2025 News

Tesla’s sales in Europe fell again in July, marking the seventh straight monthly decline, despite the launch of the updated Model Y electric crossover, Reuters reports. Overall, Tesla’s sales across Europe dropped by more than one-third in the first half of the year.

According to official data:

  • In Sweden, Tesla registrations plunged 86% (to just 163 vehicles),

  • In Denmark, down 52% (336 vehicles),

  • In France, down 27% (1,307 vehicles),

  • In the Netherlands, down 62% (443 vehicles),

  • In Belgium, down 58% (460 vehicles),

  • In Italy, down 5% (457 vehicles),

  • In Portugal, down 49% (284 vehicles).

However, not all markets saw declines. In Norway, Tesla’s July sales rose 83%, and in Spain, they increased by 27%. This growth is partly attributed to aggressive financing offers, such as 0% interest loans in select Scandinavian countries. In Spain, the broader market for electrified vehicles jumped 155%, with Chinese rival BYD selling 2,158 cars, nearly eight times more than a year ago.

Elon Musk has acknowledged that “a few tough quarters” lie ahead, citing the lack of new affordable models until the end of the year and the phase-out of EV subsidies in the U.S. He also pointed to regulatory hurdles in the EU that are slowing the rollout of autonomous driving systems, a key selling point for the Model Y in the U.S.

Tesla began selling the updated all-wheel-drive Model Y in Europe in March 2025, and the rear-wheel-drive version in May. Despite this, Model Y registrations in July fell by 88% in Sweden and 49% in Denmark. In contrast, registrations in Norway quadrupled to 715 units.

Meanwhile, other European automakers — including Volkswagen, Mercedes-Benz, Stellantis, Renault, and BMW — have also warned of slowing demand and pressure from new U.S. import tariffs.

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