Tag Archives: EVs

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Tesla Struggles in Europe as Rivals Gain Ground Amid EV Boom

Tesla is facing a sharp downturn in Europe, with new car registrations falling 27.9 percent in May compared to the same month last year. The figures mark the fifth consecutive month of decline for the American electric vehicle (EV) giant, according to data from the European Automobile Manufacturers’ Association (ACEA).

The decline is particularly striking given the broader market trend: overall electric vehicle sales in Europe surged by 27.2 percent during the same period. While EV adoption is accelerating across the continent, Tesla’s dominance is clearly waning as competition intensifies and consumer sentiment shifts.

At the heart of the issue is the Model Y, once a market leader, which is now struggling to maintain its edge. Despite a recent refresh aimed at reviving interest in Tesla’s lineup, the model no longer commands the same loyalty or appeal. In May, the Model Y was still the top-selling electric car in Europe with 10,357 registrations — but this figure represents less than half of its former performance.

Meanwhile, rivals are closing in fast. Skoda’s newly launched electric SUV, the Elroq, recorded a strong debut with 9,222 registrations in May, underscoring the increasing pressure Tesla faces from both legacy automakers and new Chinese entrants.

Overall, the European car market grew modestly by 1.9 percent in May, with the most significant growth coming from plug-in hybrids and alternative fuel vehicles. Yet, Tesla’s market share fell to just 1.2 percent — a steep drop from 1.8 percent a year ago.

Industry analysts suggest multiple factors are behind Tesla’s slump. Price-sensitive consumers are increasingly turning to more affordable Chinese EVs. At the same time, some buyers are reportedly turning away from the brand in protest over the controversial public persona and political stances of Tesla CEO Elon Musk.

The company’s position in Europe is further complicated by ongoing trade tensions between the EU and China. As traditional manufacturers and emerging brands rapidly expand their EV portfolios, Tesla must now compete on more than just innovation — it must also win back public trust and offer better value in an increasingly crowded market.

While the EV revolution in Europe shows no signs of slowing, Tesla’s role as the segment leader is far from secure.

Source: Reuters

News

Mercedes-Benz to Deliver 5,000 Electric Vans to Amazon in Record-Breaking Deal

Mercedes-Benz Vans is set to deliver nearly 5,000 electric vehicles to Amazon’s European delivery partners in the coming months, marking the largest single electric vehicle (EV) order in the automaker’s history. The bulk of the fleet—approximately 75%—will consist of the larger eSprinter model, with the remainder made up of the compact eVito panel van.

The new fleet will be deployed across five European countries, with more than half—over 2,500 units—stationed in Germany. Amazon projects that these electric vans will collectively deliver more than 200 million packages per year, a significant boost to the company’s growing zero-emissions delivery operations. This expansion builds on Amazon’s existing fleet of over 1,800 electric Mercedes-Benz vehicles, which were first introduced in 2020.

Sagree Sardien, Head of Sales and Marketing at Mercedes-Benz Vans, hailed the expanded partnership. “I am delighted that we are further intensifying our long-standing relationship with Amazon and working together on an all-electric future of transport,” she said. “Courier and parcel services are once again proving to be a key driver of electromobility.”

Sardien noted that both the eSprinter and eVito models offer a powerful combination of zero-emission driving, strong performance, comfort, and low operating costs—elements crucial for commercial transport efficiency.

Amazon’s Director of Global Fleet, Neil Emery, emphasized the environmental significance of the deal. “From electric bikes to vehicles to trucks and infrastructure, we are well on our way to transforming our transport network,” he said. “This investment underlines our commitment to reducing carbon emissions, and we look forward to accelerating our collaboration with Mercedes-Benz in electrifying our fleet across Europe.”

The companies’ partnership in sustainable transport is not new. In 2020, Mercedes-Benz joined The Climate Pledge, a climate initiative co-founded by Amazon and Global Optimism, aiming to achieve net-zero carbon emissions by 2040—ten years ahead of the Paris Agreement.

As e-commerce continues to drive demand for last-mile delivery, Amazon and Mercedes-Benz are positioning themselves at the forefront of the logistics sector’s transition to electric mobility.

Source: Mercedes-Benz

News

Electric Vehicle Plans Stalled by Market Hesitation

At the start of the 2020s, the automotive industry boldly charted a course toward an all-electric future, with many leading manufacturers pledging to phase out internal combustion engine (ICE) vehicles by 2030. However, the tide appears to be turning. Major carmakers like Mercedes-Benz, Audi, Volkswagen, and BMW are now tempering their ambitions, citing lagging consumer demand and market variability as key reasons for their recalibrated strategies.

Mercedes-Benz: A Strategic Pivot

Mercedes-Benz is among the first to publicly adjust its course. While the German automaker continues to invest in electric models like the GLC and CLA—both of which are expected to bolster EV sales—the brand is not ready to abandon traditional engines. Gasoline and diesel variants will remain available for at least another decade.

This decision is partially a response to underwhelming global sales of its EQS and EQE electric models, which failed to meet expectations. The new GLC will be built on the modular MB.EA platform and offered exclusively as an electric vehicle, while the CLA will take a dual-track approach, available as both an EV with cutting-edge 800-volt technology and a mild hybrid model. This reflects a more pragmatic and flexible strategy, in tune with real-world market demand.

BMW: Electric Skepticism Meets Strategic Hedging

BMW, which has long favored a multi-platform approach, is doubling down on its strategy. CEO Oliver Zipse has openly called electric vehicles a “dead end,” suggesting that the market may not fully transition as quickly as many had hoped. The upcoming iX3, built with 800-volt architecture, will serve as the electric sibling to the conventional X3, while the new i3—set to resemble the classic 3 Series—will integrate extended-range technology, with a gasoline engine acting as a generator.

This diversified approach allows BMW to hedge against the uncertainties of global EV adoption, balancing innovation with familiarity.

Audi and Volkswagen: Backpedaling on Bold Promises

Three years ago, Audi vowed to launch its last ICE models by 2025 and become fully electric in new vehicle launches by 2026. But the brand is now reconsidering this timeline. CEO Gernot Döllner recently told Autocar that Audi may continue producing petrol-powered cars until at least 2035, depending on customer demand.

Volkswagen echoes this caution. Although the company plans to produce an all-electric Golf, it also anticipates maintaining production of its combustion engine counterpart for at least another decade. This marks a significant shift from its earlier commitments to rapid electrification.

A Global Patchwork of Progress

Automakers are increasingly recognizing that global markets are moving toward electromobility at different paces. While regions like Europe and China are more EV-focused, others remain reliant on traditional engines. This disparity is prompting companies to create “safety nets” by retaining ICE models longer than originally intended.

Toyota stands out as a leader in this flexible approach. As the world’s largest carmaker, it has long pursued a diversified portfolio—including hybrids, hydrogen fuel cells, and battery-electric vehicles—offering a model of balanced innovation that other manufacturers are now beginning to emulate.

Uncertain Policy Future

The EU’s current legislation mandates a phase-out of new ICE vehicles by 2035, effectively banning them from the market. Yet, with major automakers recalibrating their strategies, questions are emerging about whether this regulation will hold firm—or be revised to reflect market realities.

The electric dream is far from dead, but it is evolving. Instead of a one-size-fits-all approach, carmakers are now embracing diversity in their powertrains, striving to align with consumer preferences, technological advancements, and geopolitical factors. As the 2030s approach, the road to a fully electric future appears more complex—and more flexible—than previously imagined.

Source: Autocar