Tesla's EU sales plunge 52% as Chinese EV makers gain ground

Tesla’s car sales in the European Union plunged by more than half in April, even as the overall electric vehicle market continued to grow, according to data released Tuesday by the European Automobile Manufacturers’ Association (ACEA).

The ACEA reported that Tesla sold 5,475 vehicles across the EU in April, marking a steep 52.6% drop compared to the same month in 2024. For the first four months of 2025, Tesla’s total EU sales fell 46.1% year-on-year to 41,677 units.

The dramatic decline in market share comes amid growing competition from Chinese electric vehicle manufacturers and concerns about Tesla’s product lineup and its association with Elon Musk’s political ties to former U.S. President Donald Trump.

Despite the setback for Tesla, overall electric vehicle (EV) sales in the EU rose 26.4% in April, with battery-electric vehicles making up 15.3% of total car sales. Still, Tesla’s former dominance has eroded significantly. In April, the company was overtaken by 10 rivals, including Volkswagen, BMW, Renault, and Chinese EV giant BYD, according to data from automotive research firm JATO Dynamics.

Among EVs, Skoda’s new Elroq led sales in April, while Tesla’s once-dominant Model Y dropped to ninth place.

Tesla recently reported a 13% decline in global deliveries in the first quarter of 2025, citing disruptions caused by upgrades to its Model Y production line. Musk has also faced increasing pressure over the company’s performance, though he recently said that Tesla sales are “doing well” and indicated he would scale back his involvement in Trump’s budget-slashing initiatives.

**China’s Growing Footprint**

Chinese automakers have continued to expand their presence in the European market. Brands such as BYD, MG, Xpeng, and Leapmotor collectively saw a 59% increase in EV and hybrid sales over the past year, bringing Chinese manufacturers’ market share in Europe to 7.9%, according to JATO.

The surge in Chinese sales comes amid ongoing EU discussions over imposing tariffs on Chinese hybrid vehicles, similar to those already applied to Chinese-made EVs.

**Hybrid Vehicles Maintain Lead**

While EVs are gaining ground, hybrid vehicles remain the most popular choice for European consumers. Hybrid car sales rose 20.8% since the beginning of 2025, while petrol-only vehicle sales dropped 20.6% over the same period.

Volkswagen Group continues to hold the top position among auto brands in Europe, with sales rising 2.9% in April.

However, the growth of electric and hybrid vehicles varies significantly by country. Germany, Belgium, Italy, and Spain have all posted strong gains, while France has seen a decline in EV sales.

“The share of battery-electric vehicles is slowly gaining momentum, but growth remains incremental and uneven across EU countries,” said ACEA Director General Sigrid de Vries. She stressed the importance of consistent government support in the form of incentives, infrastructure, and energy pricing.

“The ongoing popularity of hybrid vehicles also highlights the importance of maintaining a technology-neutral approach,” she added.