Tesla’s Europe Sales Crash 49% Amid Musk Backlash, EV Rivals Surge/ Newslooks/ WASHINGTON/ J. Mansour/ Morning Edition/ Tesla’s April sales in Europe fell nearly 50% year-over-year, despite EV market growth. Analysts blame Elon Musk’s polarizing politics, factory shutdowns, and rising competition. Chinese EV brands and geopolitical trade tensions are eroding Tesla’s European position.
Tesla’s European Sales Collapse: Quick Looks
- April Sales Drop: Down 49% to 7,261 units across 32 European countries.
- Market Contrast: Other EV brands saw a 28% rise; gas and diesel car sales fell.
- CEO Fallout: Elon Musk’s controversial views blamed for growing consumer backlash.
- Trump Trade Tensions: U.S.-EU trade dispute adds to anti-American brand sentiment.
- Factory Downtime: Temporary closures for Model Y upgrades limited inventory.
- Chinese Competition: SAIC sales rose 54% in the same period, led by MG’s budget EVs.
- Year-to-Date Slump: Tesla sales down 39% through April; overall EU car sales flat.
- EU Market Outlook: Slight recovery with 1.3% sales growth in April.
Deep Look: Tesla’s European Sales Halve in April Amid Musk Fallout and Rising EV Competition
May 27, 2025
Tesla’s grip on the European electric vehicle (EV) market has taken a sharp turn for the worse. The automaker’s monthly sales dropped 49% in April, from 14,228 units to just 7,261 across 32 European countries, according to data released Tuesday by the European Automobile Manufacturers’ Association (ACEA).
Even as overall battery-electric vehicle (BEV) sales climbed by nearly 28% during the same period, Tesla’s market share shrank drastically, signaling deeper brand challenges that go beyond supply chain or macroeconomic factors.
Musk Controversies and Consumer Backlash
Industry analysts point to a growing European consumer backlash against Tesla CEO Elon Musk, whose increasingly polarizing public statements and political affiliations have drawn widespread criticism. His far-right commentary, particularly on social media, has alienated left-leaning European consumers who make up a significant portion of the EV-buying demographic.
“Tesla is facing a brand erosion problem in Europe, not just a supply or pricing issue,” said one industry consultant in Berlin.
Supply Crunch and Model Y Disruption
Tesla’s performance was also hampered by production interruptions. Factory shutdowns for retooling the popular Model Y SUV further constrained inventory at a time when competitors — especially Chinese manufacturers — ramped up their European footprint with affordable alternatives.
The Model Y remains Tesla’s top-seller globally, but it is rapidly aging and facing stiff competition from fresher, tech-forward alternatives. The delay in updating the model, compounded by halted production, has left dealerships short on supply.
China’s SAIC Zooms Ahead
Meanwhile, SAIC — a state-owned Chinese carmaker that owns MG — saw a 54% spike in sales last month. MG’s budget-friendly EVs continue to gain traction in Europe, offering competitive range and features at lower price points, undermining Tesla’s market advantage.
SAIC’s performance stands in stark contrast to Tesla’s struggles, illustrating how quickly European consumers are turning to lower-cost alternatives in a maturing EV market.
Political Headwinds and Trade War Fallout
Beyond the company’s internal challenges, external political dynamics are also weighing on Tesla’s prospects. The Trump administration’s escalating trade rhetoric has deepened European skepticism of American brands. Earlier this month, President Donald Trump threatened a 50% tariff on European goods — a threat he later agreed to postpone until July.
Still, the hostile tone of the trade dispute has had a chilling effect. European buyers are increasingly viewing Tesla through the lens of political association — an image crisis Musk appears either unwilling or unable to reverse.
Tesla’s 2025 Outlook in Europe
Tesla’s sales through the first four months of 2025 have plummeted 39% year-on-year, totaling 61,320 units — well below projections. In contrast, the broader EU auto market has remained relatively stable, showing a slight 1.3% uptick in April, according to ACEA.
In a statement accompanying the data, the group noted signs of market recovery “despite the ongoing unpredictable global economic environment,” hinting at resilience among European automakers.
Tesla’s inability to ride this momentum may foreshadow deeper structural challenges unless it can rejuvenate its model lineup, recalibrate its political messaging, and rebuild consumer trust in key markets.
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