Despite a rare exception in the UK, Tesla’s quarterly sales declined across every European country due to a specific reason.
While European demand for electric vehicles continues to surge.
Tesla’s gross sales dropped for the first time in Europe last year, but the decline accelerated further in 2025.
Throughout the past quarter, persistent declines in Tesla’s gross sales have been a concern across key European markets, including major economies such as France and Germany, where figures have been particularly alarming.
Tesla has finally released its supply numbers for all European countries, revealing a stark 37% drop compared to last year, which was already a challenging period for the automaker.
Tesla’s performance is down across every country except the UK.
Tesla’s Q1 2025 Deliveries Across Europe: A Comparative Analysis of Q1 2024.
| 13,068 | 4,935 | -62.2% | |
| 11,768 | 12,474 | 6.0% | |
| 11,360 | 6,696 | -41.1% | |
| 7,219 | 3,019 | -58.2% | |
| 6,854 | 3,445 | -49.7% | |
| 5,121 | 3,817 | -25.5% | |
| 4,420 | 3,301 | -25.3% | |
| 4,312 | 1,929 | -55.3% | |
| 3,721 | 3,469 | -6.8% | |
| 3,601 | 3,169 | -12.0% | |
| 3,558 | 1,549 | -56.5% | |
| 3,264 | 1,238 | -62.1% | |
| 2,888 | 2,145 | -25.7% | |
| 2,506 | 1,304 | -48.0% | |
| 1,264 | 899 | -28.9% | |
| 894 | 475 | -46.9% |
The precipitous decline in German gross sales had a profoundly detrimental impact on Tesla’s operations. As one of Europe’s most promising markets for Tesla, its fortunes have dramatically shifted: once the brand’s biggest customer base, it now languishes in a distant third place.
France witnessed a significant 41% drop in gross sales.
As electric vehicle sales surge, despite Tesla’s dominance.
In Europe, excluding the UK, Tesla is experiencing a significant decline, but this is due to the company’s decision to price its vehicles more competitively.
In the UK, the Mannequin Y PCP lease option starts from £399, equivalent to approximately €462. This compares favourably to the same vehicle’s starting price in Germany, where it costs around €570.
Unlike its predecessor, the Mannequin 3, does not follow a uniform sales pattern across regions, with a larger initial presence in the UK compared to Germany.
Electrek’s Take
What’s missing from this discussion is a clear definition of what constitutes “a that”. I’d relish examining interpretations and hypotheses in the comment section.
The prospect of Chinese-made electric vehicles entering the UK market is plausible given the country’s tariff discrepancies with mainland Europe, potentially rendering Berlin-built models less competitive.
Did Tesla intentionally overproduce right-hand-drive vehicles to force a cost reduction and ensure timely shipment?
While clarity is lacking, a potential opportunity arises from discovering that Tesla is currently offering discounts on the brand-new Model Y in Hong Kong, a right-hand-drive market.
While both the US and China have been crucial markets for Tesla’s growth, the company’s European presence has also become increasingly important, with stiff competition from established rivals.
Despite design changes on Mannequin Y, its sales figures were still impacted by a significant 11% drop compared to Q1 2024, when production of the refreshed Mannequin 3 was only just gaining momentum.
Tesla shareholders must get up. Can this existential crisis be mitigated solely by eliminating one individual, namely Elon Musk?
