Asger Risom
Elon Musk faces mounting pressure as Tesla suffers its sharpest decline in European sales to date. Registrations have halved across key markets, even as EV sales overall continue to climb. The biggest winner? Chinese automaker BYD, which is rapidly seizing market share.
Elon Musk faces mounting pressure as Tesla suffers its sharpest decline in European sales to date. Registrations have halved across key markets, even as EV sales overall continue to climb. The biggest winner? Chinese automaker BYD, which is rapidly seizing market share.
Tesla’s Market Share in Freefall
According to Reuters, Tesla registrations fell 55% in Germany and 60% in the UK in July compared to the same month last year. Across ten major European markets, sales dropped by an average of 45%.
EV Market Growing Without Tesla
Tesla’s slump comes despite strong growth in Europe’s EV sector. Germany saw a 58% rise in electric sales, while the UK recorded a 9% increase. The data highlights how Tesla’s decline is not tied to weak demand, but to stiffer competition.
BYD Emerges as the Winner
Chinese automaker BYD has capitalized on Tesla’s struggles. Sales surged fivefold in Germany and quadrupled in the UK, putting the brand on track to rival Tesla in Europe by year’s end.
Tesla’s Costly Missteps
Tesla’s downturn is linked to a series of high-profile misfires. A botched robotaxi presentation wiped $68 billion off its market value in just two days, while the latest Model Y refresh has been criticized as ineffective and uninspiring.
Elon Musk’s Controversial Politics
Musk’s political stances have also alienated investors. His public clashes with Donald Trump earlier this summer led to a sharp sell-off, with Tesla’s value plunging $100 billion in a single day.
Tesla’s Image Problem Grows
What was once seen as an untouchable brand now faces wavering consumer confidence. Critics argue Tesla has fallen behind in innovation, with competitors offering fresher designs and stronger value propositions.
BYD’s Expanding Lineup Boosts Growth
BYD has strengthened its presence in Europe with popular models like the Atto 3, Dolphin, and Seal. Its strategy of affordable pricing and efficient supply chains is winning over buyers disillusioned with Tesla’s rising prices.
Elon Musk’s Fortune Takes a Hit
Musk’s personal wealth has been shaken by Tesla’s decline. Once comfortably the world’s richest man, his position is now more contested than ever as Tesla’s stock continues to stumble.
The EV Market Enters a New Era
Tesla’s sharp losses and BYD’s rapid ascent signal a major shift in the global EV race. With Chinese manufacturers scaling fast and European brands regrouping, the fight for dominance is far from over.
