Tesla's EU Sales Decline for Sixth Consecutive Month

Tesla's EU sales slumped for a sixth consecutive month in June, with new-car registrations falling 39.5% to 20,349 vehicles across the EU. The declines came despite the overall electric-vehicle market in the EU growing this year, with sales of battery-electric vehicles rising 7.8%. Overall EU passenger-car registrations fell 7.3% in June, with sales down 14% in Germany, 6.7% in France, and 17% in Italy.

Tesla's new-car registrations in Europe slumped for a sixth consecutive month in June, with registrations falling 39.5% to 20,349 vehicles across the EU [1]. This decline came despite the overall electric-vehicle (EV) market in the EU growing this year, with sales of battery-electric vehicles (BEVs) rising 7.8% [1]. Overall EU passenger-car registrations fell 7.3% in June, with sales down 14% in Germany, 6.7% in France, and 17% in Italy [2].

Tesla's June sales were the lowest since the start of the year, marking a significant drop compared to its performance in 2024. The company's Model 3 and Model Y remained the top-selling BEVs in the first half of 2025, but the latest figures indicate a slowdown in demand [1]. This slowdown could be attributed to various factors, including the global economic downturn and increased competition from traditional automakers and other EV manufacturers.

Despite Tesla's struggles, the broader EV market in Europe continues to show signs of growth. Sales of BEVs increased 14% in June, reaching 224,154 units [1]. This growth is driven by various factors, including government incentives, increasing consumer awareness of environmental issues, and improvements in charging infrastructure.

The European Automobile Manufacturers’ Association (ACEA) reported that registrations of all new cars fell by 5.1% in June, with plug-in hybrid electric vehicles (PHEVs) experiencing a 38% increase in registrations [2]. This indicates a growing interest in vehicles that offer a combination of electric and combustion engine power.

Looking ahead, Tesla and other automakers face significant challenges in maintaining growth in the European market. The European Commission's decision to grant carmakers a three-year window to hit stricter carbon dioxide emissions targets may provide some relief, but the market remains highly competitive and volatile [2].

References:
[1] https://autos.yahoo.com/articles/tesla-dominated-rivals-ev-sales-121749071.html
[2] https://www.bloomberg.com/news/articles/2025-07-24/europe-car-sales-drop-the-most-in-10-months-as-ev-growth-slows