Tesla’s EU Sales Drop 49% In First Two Months Of 2025 Amid Political Backlash

Tesla’s electric vehicle sales in Europe plummeted by 49% in January and February 2025 compared to the same period last year, according to data released on Tuesday, March 25, by the European Automobile Manufacturers’ Association (ACEA).

While the decline is partly linked to aging models, industry analysts believe some EV buyers may also be boycotting Tesla due to CEO Elon Musk’s political stance.

Musk, a vocal supporter of U.S. President Donald Trump, has faced criticism since taking charge of the newly formed Department of Government Efficiency, which is spearheading aggressive cost-cutting measures. Amid the backlash, Tesla dealerships across the U.S. have been vandalized in recent weeks, and the company’s stock has suffered a major decline.

ACEA data shows that new Tesla registrations in the EU dropped to 19,046 in the first two months of the year, reducing the company’s market share to just 1.1%. In February alone, Tesla registrations fell by 47% to 11,743 units. This sharp drop comes despite overall EV sales in the EU rising by 28.4% during the same period, reaching 255,489 units and securing a 15.2% market share.

ACEA’s director general, Sigrid de Vries, underscored the challenges facing the industry, stating:

“The latest new car registration figures confirm that market demand for battery electric vehicles remains below the level needed for the transition to zero-emission mobility to progress.”

She stressed the importance of tax incentives and investments in charging infrastructure as the EU considers relaxing emission reduction targets to aid struggling European automakers.

While Tesla’s sales declined, hybrid-electric vehicles experienced a surge in demand, emerging as the largest market segment with 594,059 registrations in the first two months of 2025, capturing a 35.2% market share. Meanwhile, petrol and diesel vehicles continued to decline, holding market shares of 29.1% and 9.7%, respectively, in February.

As the EV market evolves, Tesla faces increasing pressure to launch new models and navigate the political and economic factors shaping consumer sentiment.