Tesla’s European sales suffered steep year-over-year drops in key markets during July:
- France: Down 26.6% to 1,307 units
- Denmark: Down 52%
- Sweden: Down 86% to just 163 vehicles
(Source: [Reuters report on France]: France registrations sank 26.6% and Tesla sales fell sharply Yahoo Finance
Why Is Tesla Facing a Collapse?
Major contributing factors include:
- Rising competition from low-cost EV manufacturers like BYD and traditional automakers priced for European buyers.
- Public backlash triggered by Elon Musk’s political alignment, which is damaging Tesla’s brand reputation in Europe.
( EvBoosters and EVXL.co)
Despite a refreshed Model Y and price promotions, the demand drop signals deeper issues with Tesla’s aging vehicle lineup and brand fatigue in competitive markets.
Broader Implications for Tesla’s European Outlook
- The July slump extends Tesla’s seven‑month sales decline streak in Europe, even as overall EV registrations in those countries rose significantly during the same period.
- Norway offers a bright spot, with traditional strength in EV adoption, but it’s not enough to shift the continent’s overall decline.
- Analysts warn these trends could suppress Tesla’s year-end delivery forecast if brand perception and competitive pressures aren’t addressed swiftly.
