Last month, Tesla’s sales in Europe dropped by 50% despite the overall electric vehicle market gaining momentum, as indicated by the data published on Tuesday.
These figures represent the most recent evidence of how significantly the Tesla brand is being impacted due to the negative reaction towards billionaire CEO Elon Musk as a result of his extreme right-wing viewpoints.
Tesla vehicle sales across 32 European nations dropped by 49%, falling to 7,261 units in April compared to 14,228 during the same period last year, as reported by the European Automobile Manufacturers’ Association (ACEA).
Simultaneously, the sales of battery-electric vehicles from all manufacturers increased by approximately 28%, whereas the sales of gas and diesel-powered automobiles declined sharply.
The statistics encompassing the European Union’s 27 member states along with an additional five countries outside the union support initial findings from Sweden, the Netherlands, and Denmark shared earlier this month, indicating a significant decline in sales.
Tesla has been grappling with demonstrations and boycotts due to Musk’s involvement in political matters. Additionally, the company confronts several challenges such as an outdated range of models and increasing rivalry from competing electric vehicle manufacturers, notably those based in China.
The trade war initiated by U.S. President Donald Trump has led Europeans to be less enthusiastic about purchasing American products. Recently, Trump threatened to enforce a 50% tax on European Union goods, criticizing the union for being “extremely hard to negotiate with.” However, he later agreed to postpone these tariffs until July.
One indication that Tesla might be ceding market share to more affordable Chinese competitors is the significant surge in SAIC’s sales by 54% in April, as reported by the ACEA data. SAIC manages several automotive brands such as UK-based MG, which has gained recognition for its budget-friendly electric vehicles.
Tesla is also facing difficulties due to having to close its manufacturing plants for multiple weeks this year to upgrade its top-selling Model Y SUV, which has constrained supplies.
In the initial four-month span of the year, Tesla’s sales in Europe dropped approximately 39%, totaling 61,320 vehicles, whereas the overall automotive market on the continent remained relatively stable over the same timeframe, as per the available statistics.
In April, car sales within the European Union saw a slight increase of 1.3% compared to the prior year, indicating a potential rebound “notwithstanding the persistently uncertain global economic climate,” as stated in their press release.
Provided by SyndiGate Media Inc.
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