In 2024, Tesla sold 1.7 million vehicles worldwide (1.1% less than in 2023), and the beginning of 2025 shows that the same trend will continue. According to sales results for January, Tesla is losing in all markets, and the biggest drop was recorded in France of 63%.

Demand for electric vehicles in Europe last year was in decline, especially after the abolition of subsidies, and buyers are increasingly opting for hybrids. However, some data shows that the electric vehicle market is slowly recovering.

Tesla’s sales decline came as the German electric vehicle market grew by more than 50 percent year-on-year in January, knocking its market share from 14% to just 4%. In France, Tesla sales fell by 63 percent in January, while in Norway 38 percent fewer Tesla vehicles were sold. In the UK, sales fell by 8 percent compared to a year earlier.

What is the biggest reason for Tesla’s poor performance? Some believe Musk’s support for the AfD party is one reason. Last month, Musk hosted Alice Weidel, the leader of the AfD, on his social media platform for a 75-minute debate in which she falsely claimed that Adolf Hitler was a socialist. The AfD is also a party that calls for mass deportations of migrants and uses Nazi slogans in its campaign, and has been classified as right-wing extremist by Germany’s intelligence agency.

This choice of sides and interference in the German elections, which will be held on February 23, has been criticized by both Chancellor Olaf Scholz and Christian Democrat leader Friedrich Merz.

Automotive analyst Matthias Schmidt attributed Tesla’s decline in the German market to consumers waiting for the upgraded Model Y, which is scheduled for the first half of 2025. An entrepreneur from the state of Baden-Württemberg said he received 2,000 orders in one weekend, with customers saying: “I bought this before Elon went crazy.”

Source: Reuters