Tesla sales continue to crater in Europe, highlighting the sheer damage CEO Elon Musk has inflicted on the brand.
According to new figures released by the European Automobile Manufacturers' Association (AECA), sales across the pond slid by almost 50 percent in April, as CBS News reports.
That's despite the EV market growing substantially over the same period and region, with Chinese competitor BYD overtaking Tesla to sell more vehicles in Europe last month for the first time, according to research firm Jato Dynamics.
"This is a watershed moment for Europe’s car market, particularly when you consider that Tesla has led the European BEV market for years, while BYD only officially began operations beyond Norway and the Netherlands in late 2022," said Jato Dynamics global analyst Munoz in a recent statement.
Chinese company SAIC, which owns several low-cost EV brands, saw sales shoot up 54 percent in Europe, according to AECA figures.
The numbers paint a dire picture of the company's financials and massively slumping demand. April sales plunged a whopping 62 percent in the UK, per CNN, and 74 percent in the Netherlands. Sweden, once a key market for Tesla, saw a precipitous 81 percent drop as well.
It's yet again more evidence that Musk's embrace of far-right ideals, his plundering of the US federal government, and intrusion into European politics have proven disastrous for the carmaker's brand. His actions have spawned an international anti-Tesla movement, with protesters gathering in huge numbers in front of showrooms.
"2025 started off as a dark chapter for Musk and Tesla as Elon's role in the Trump Administration and DOGE created a life of its own which created brand damage and a black cloud over the story," longtime Tesla bull and Wedbush analyst Dan Ives wrote in a May 23 note, as quoted by CBS News.
Instead of acknowledging the damage he has done, Musk has vowed to recommit himself to his ailing businesses, claiming that he was leaving the world of politics behind.
Tesla investors saw it as a positive development, sending the company's shares soaring over the past month. However, critics have long pointed out that Tesla's stock has become "detached from reality," a divergence that has never been more on display than now.
Compounding the issue is Tesla's aging model lineup. Instead of working on a more affordable "Model 2" vehicle, something investors have been begging for for years, Musk has instead bet the fate of the carmaker on the development of an autonomous "robotaxi" ride-hailing service.
The billionaire has promised to show off an extremely limited demo of the service in Austin as soon as next month. The demo will reportedly feature a mere ten to 20 Model Y robotaxis, which are being supervised by human safety drivers.
But even the company's own executives aren't convinced that autonomous robotaxis will be the carmaker's saving grace. Tesla's head of Autopilot and AI software, Ashok Elluswamy, admitted during a recent podcast appearance that the company is "maybe a couple of years" behind competitor Waymo.
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