Tesla’s Europe Sales Plunge 40% in July 2025 as BYD and Rivals Gain Market Share

Photo by Vladimir Srajber

A Shift in Europe’s EV Market Landscape

Tesla has long been considered the face of the electric vehicle (EV) revolution, but its dominance in Europe is slipping fast. According to the European Automobile Manufacturers’ Association (ACEA), Tesla’s EV registrations fell by a staggering 40.2% year-over-year in July 2025, totaling just 8,837 units.

Meanwhile, the broader EV market in Europe is still expanding rapidly. Registrations for electric vehicles across the region — including the UK and EFTA countries — surged 33.6% year-over-year in July, with overall car registrations (across all powertrains) climbing 5.9%.

Tesla’s steep drop stands in sharp contrast to the momentum of its competitors, raising questions about its long-term position in Europe’s fast-growing EV sector.

Tesla’s Prolonged Sales Decline

July marked the seventh consecutive month of falling Tesla sales in Europe. The slump was even worse than June, when Tesla sales fell 22.9% year-over-year to 34,781 units.

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