Tesla, the leading electric vehicle manufacturer in Europe, is facing a challenging year as its registration numbers have plummeted significantly. According to the European Automobile Manufacturers’ Association (ACEA), Tesla experienced a double-digit decrease in registrations in the European Union (EU) in November, with a staggering 40.9% drop compared to the same month last year.
In the first eleven months of 2024, Tesla saw a notable decline in registrations, with over 30,000 fewer units registered in the EU. Year-to-date figures show a 15.2% decrease in registrations, dropping from 249,265 units in 2023 to 211,405 units this year. This downward trend is indicative of Tesla’s weakening grip on the European market.
When including the European Free Trade Association (EFTA) members and the United Kingdom in the analysis, Tesla’s registrations also saw a decline. In November, registrations in these markets decreased by 28.4%, with the market share dropping from 3.4% to 2.5%. Year-to-date, registrations in the EU, EFTA, and UK decreased by 13.7%, with a market share reduction from 2.8% to 2.4%.
Several factors contribute to Tesla’s losses in the European market, including the controversial behavior of CEO Elon Musk and the reduction or elimination of government incentives for EV purchases in some European countries. Despite Tesla’s decline, the overall EV industry in Europe has remained relatively stable, with only a 1.4% decrease in registrations from January to November. In November alone, EV registrations actually increased by 0.9% compared to the previous year.
The decline in Tesla’s registrations has provided an opportunity for other automakers to step up and fill the gap left by the EV giant. Customers are increasingly turning to alternative electric vehicle options as they navigate the changing landscape of the European EV market.
Overall, Tesla’s struggles in Europe reflect a broader shift in the EV industry, with increased competition and changing consumer preferences shaping the market dynamics. As the electric vehicle market continues to evolve, it will be interesting to see how Tesla adapts to these challenges and maintains its position as a key player in the European automotive landscape.