We have all heard of this line — One man’s dream is another man’s nightmare. Well, this pretty much sums up Tesla’s European Union sales figures in April. Based on data released by the European Automobile Manufacturers’ Association (ACEA), the Elon Musk-led company crashed to around 52.6% year-on-year while the Chinese EV and hybrid companies saw a massive growth of 59% year-on-year.
What makes matters from bad to worse for Tesla is that the European Union (EU) registered a 26.4 % rise in overall EV sales. In Europe, Tesla slumped to 49% in sales in the United Kingdom, Norway and Switzerland.Â
Double-edged sword of Tesla’s affect
Tesla has been on a slippery slope for some time it dropped 28% of its sales in March, which was an improvement from the February drop of 43%. Tesla hasn’t fared better on the global stage as it registered its worst quarterly result of a decline of 13% year-on-year.Â
In May, Tesla stocks surged, which was a relief for the investors. What would be further good news for Musk is that this arch-rival, BYD’s stocks have plunged by 9%. The reason for this is that the Chinese EV maker has been offering discounts on its entire lineup from 15% to 30%. JP Morgan remains confident that BYD should be able to register profit for the entire year.Â
According to Jato Dynamics, the data revealed that BYD outsold Tesla in Europe, even though it was only by 66 electric vehicles. Since the beginning of the 2025 calendar year, Tesla’s sales in Europe fell by around 39%, while the gainers have been Volkswagen, BMW, Renault and the Chinese brands.Â
The faltering sales of Model Y have not helped Tesla either in the U.S. or Europe. The company, for the first time, was forced to offer deals and 0% financing. To stabilise its sales, Tesla is working on affordable Model Y and Model S versions.
