Tesla is losing influence in the European market: sales have fallen by up to 50%

One of the leaders of the technological revolution in the automotive industry — Tesla — is facing serious problems in the European market. According to the latest monthly report from the European Automobile Manufacturers’ Association (ACEA), in April 2024, Tesla’s electric vehicle sales in EU countries dropped to 5,475 units, a 52.6% decrease compared to the same period last year.

If the report is expanded to include the UK and EFTA member states — Iceland, Norway, and Switzerland — then the total sales decline for Tesla amounts to 49%.

This is not the first time such a situation has been observed. In January–March of the current year, the company also recorded a 45% drop in sales in Europe. Experts particularly emphasize that Tesla’s market share in the EU fell from 1.3% to 0.6%. These figures show that Elon Musk’s company is gradually losing its reputation among European consumers.

At the same time, overall EV sales in the EU increased by 26.4%. This indicates that demand for environmentally friendly vehicles continues to grow. However, despite this positive trend, Tesla has hardly benefited from it.

As for the overall automotive market, sales in the EU rose by 1.3%. ACEA considers this growth as a sign of partial market recovery. Nevertheless, due to global economic instability, uncertainty still dominates.

The best performance was recorded by BMW Group — their sales rose by 9.8%. Volkswagen Group achieved 2% growth, while Renault Group increased by 1.1%.

Tesla is also feeling the decline globally. In the first quarter of 2024, the company managed to sell 336.7 thousand vehicles, which is 13% less than in the same period last year.

Analysts suggest that Elon Musk’s personal image has also contributed to this decline. His political involvement, controversial statements, and participation in various scandals are among the factors negatively impacting the brand’s perception among consumers.

The situation for Tesla in the European market appears concerning, and it seems time for the company to rethink its strategy and seek new solutions.