Tesla German July auto sales cut in half

Tesla (NASDAQ:TSLA) new car registrations dropped by more than half in Germany last month despite a 58% increase in registrations of electric vehicles, according to data compiled by the country’s Federal Motor Transport Authority (KBA).

By contrast, Chinese competitor BYD (OTCPK:BYDDF) (OTCPK:BYDDY) saw a 389% surge in new car registrations to 1,126 vehicles, XPeng (XPEV) up 1,562% to 266 vehicles, Vietnam’s Vinfast (VFS) with a 150% increase to 10, Lucid (LCID) with a 475% increase to 46 vehicles, and NIO (NIO) up 47% to 47 vehicles.

For the year-to-date ending in July, Tesla (NASDAQ:TSLA) sold 10,000 vehicles, 57.8% less than the same period in 2024.

Once considered inferior or unsafe by European consumers, Chinese vehicles are making significant inroads across the continent, gaining a 10% market share in Norway and 5.5% in Denmark. The change can be attributed to aggressive pricing, rapid product innovation, and state-backed industrial policies that support EV adoption.

The push by Chinese automakers is not only hurting Tesla (NASDAQ:TSLA) but domestic and foreign automakers as well. Beijing-based SAIC sold 33% more cars in the EU between January and June versus a more modest gain of 2.3% for Volkswagen (OTCPK:VWAGY) (OTCPK:VLKAF), -1.9% for Mercedes (OTCPK:MBGAF) (OTCPK:MBGYY), and -2% for Ford (F).