Tesla has suffered another significant setback in Europe, with new data revealing a sharp decline in sales for November as the company's challenging year continues.
A Steep Decline in Key Markets
According to the latest figures from the European Automobile Manufacturers' Association (ACEA), registrations of new Tesla cars in the European Union fell by a striking 34.2% in November year-on-year. The picture across the broader region, which includes the EU, the UK, and the European Free Trade Association (EFTA) nations, was also negative, showing an 11.8% drop.
In concrete terms, Tesla sold just 12,130 vehicles in the EU last month, a substantial decrease from the 18,430 units it registered in November 2024. This collapse in volume has caused the company's market share to shrink from 2.1% to a mere 1.4% within the bloc.
Consumer Backlash and Intense Rivalry
Industry analysts point to a consumer backlash against Elon Musk's political activism, particularly his support for Donald Trump's White House before their recent falling out, as a key factor dampening demand. This comes as Tesla's CEO has himself warned of "rough quarters" ahead for the business.
Simultaneously, Tesla is facing unprecedented competition, primarily from Chinese manufacturers. The most notable challenger is BYD, which enjoyed a spectacular November. The Chinese giant saw its sales in the EU, EFTA, and UK skyrocket by 221%, from 6,568 to 21,133 units, decisively overtaking Tesla's regional performance.
BYD is at the forefront of a concerted push by Chinese carmakers, backed by Beijing and regional governments, to use the global transition to electric vehicles as a springboard to dominate the automotive industry.
A Growing Market Amidst Tesla's Struggles
Despite Tesla's pronounced difficulties, the broader battery-electric vehicle (BEV) market in Europe continues to expand. For the first eleven months of 2025, BEVs accounted for 16.9% of total EU market share. This represents a clear increase from the lower baseline of 13.4% recorded during the same January-November period in 2024.
This divergence highlights that while consumer appetite for electric cars is growing, Tesla is losing ground to aggressive and well-supported rivals in one of the world's most important automotive markets.
