Tesla’s (NASDAQ:TSLA) European sales slumped 40% in July to 8,837 units, marking a seventh straight month of declines, even as overall EV sales rose, according to ACEA data.
Meanwhile, Chinese rival BYD (OTCPK:BYDDF) (OTCPK:BYDDY) surged 225% year-on-year to 13,503 registrations, reflecting its aggressive expansion across Europe with competitively priced models.
Tesla (NASDAQ:TSLA) faces stiff competition, brand challenges linked to CEO Elon Musk, and a lack of major model updates. The company plans to begin “volume production” of a more affordable EV in the second half of 2025, which investors hope will revive demand.
Chinese automakers held a record 5% market share in Europe in the first half of the year, according to data from JATO Dynamics, with BYD leading the charge. Other global brands like Stellantis, Hyundai, Toyota, and Suzuki also saw July declines, while Volkswagen, BMW, and Renault posted gains.