The Existence Of Model Y Updates Has Not Been Able To Boost Tesla Sales In Europe

Various Tesla electric vehicles. (Doc. Tesla)

JAKARTA - Tesla's sales in Europe have plummeted since the last few months. But many analysts say the market is just waiting for the Tesla Model Y update to be able to raise Tesla's prestige again to king EV sales in Europe. Unfortunately, that hasn't come true yet. The revised presence of the Model Y has not been able to boost the performance of this brand from the US in the European market.

Launching Reuters, Wednesday, June 25, Tesla's new car sales in Europe slumped 27.9 percent in May compared to the previous year. This decline occurred at a time when sales of electric vehicles (EVs) in the region actually jumped 27.2 percent. Overall, car sales in Europe rose slightly 1.9 percent. The most significant growth comes from plug-in hybrid vehicles and other alternative-powered cars, according to data from the European Automobile Manufacturers Association (ACEA).

Tesla's sales in Europe have now fallen for five consecutive months. Consumers began switching to China's cheaper EVs, and in some cases, protests against Tesla CEO Elon Musk's political views also affected purchase decisions. Tesla's European market share fell to just 1.2 percent in May, down from 1.8 percent a year ago.

What's interesting about the latest sales data?

In May, new car sales in the European Union, UK and the European Free Trade Association (EFTA) rose to 1.11 million vehicles. This figure follows a 0.3 percent decline in April, according to ACEA data.

Registration for China's state-owned SAIC Motor and BMW Germany rose 22.5 percent and 5.6 percent, respectively.

Meanwhile, Japan's Mazda sales fell by 23 percent.

In the European Union alone, total car sales have fallen 0.6 percent so far this year. However, this contrasts with the increasing demand for EVs. The registration of battery-powered electric cars (BEV), plug-in hybrid (PHEV), and hybrid-electric (HEV) rose 26.1 percent, 15 percent, and 19.8 percent, respectively. The combination of BEV sales, HEV, and PHEV contributed 58.9 percent of the total passenger car registration in May, up significantly from 48.9 percent in May 2024.

Among the largest European Union markets, new car sales in Spain and Germany rose 18.6 percent and 1.2 percent, respectively. However, in France and Italy, sales fell by 12.3 percent and 0.1 percent, respectively.