The latest data released by the European Automobile Manufacturers Association on Tuesday (March 25th) shows that Tesla's new car registrations in the European Union, European Free Trade Association, and UK markets in February plummeted by 40% for the second consecutive month. This is also the 10th month in the past 12 months that this American electric car manufacturer's sales in Europe have declined.
According to statistics, in February 2025, Tesla's new car registration volume in the European Union, European Free Trade Association, and UK markets was 16888, a decrease of 40% compared to the same period last year. In the first two months of this year, Tesla's total sales in Europe plummeted by 43%, contrary to the industry wide increase of 31% in electric vehicle registrations in Europe.
The European Free Trade Association (EFTA) is a trade promotion organization in Europe, with member countries including Iceland, Liechtenstein, Norway, and Switzerland.
Data shows that Tesla may have dug a big hole in its sales data before delivering the redesigned Model Y in the first week of March.
According to data released by the European Automobile Manufacturers Association, due to economic uncertainty leading consumers to restrain their purchases of large items, total European car sales experienced the largest decline in five months in February - new car registrations fell 3.1% from the same period last year to 963540 units.
However, the electric vehicle sector is actually a rare highlight in the monthly report. Due to the strong promotion of electric vehicles by car manufacturers to comply with stricter emission regulations, the overall sales of electric vehicles in the European market increased by 26% in February.
However, even so, Tesla still failed to seize the opportunity and instead watched helplessly as its competitors further eroded its market share.
Data shows that SAIC Group's sales in the European market reached 19927 vehicles in February, a year-on-year increase of 26.1%, and its market share increased from 1.6% in the same period last year to 2.1%. SAIC sells gasoline cars, hybrid cars, and electric cars simultaneously.
Analysts point out that in the early stages of Trump's second term, Musk's involvement in European politics has sparked resentment among the European public, and has even led to an increasing number of violent destruction actions against Tesla facilities and vehicles. The billionaire tried to influence the voting of German federal elections last month, which made him the target of many Germans' criticism. After that, he also called on the United States to withdraw from NATO and stop paying European defense costs.
Tesla's new car registration data for March and the following months will provide investors with a clearer understanding of how much political factors surrounding Musk have played a role in Tesla's declining European sales. From the current trend, the situation may only get worse and worse
At the beginning of this year, in order to switch to the new Model Y, Tesla's factories around the world had to suspend production, including assembly plants located on the outskirts of Berlin. These shutdowns have led to a decrease in Tesla's production for several weeks, and sales data has also been affected to some extent.
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