Tesla (TSLA) stock was down around 2.5% this morning as troubles in Europe mounted for the EV maker.
New data from France’s PFA national auto lobby reported new Tesla registrations dropped 67% in May to 721 units, with overall sales down 47% year to date. Mobility Sweden reported Tesla EV registrations tumbled 53.7% to 503 units in the country in May from a year earlier.
Reuters reports Tesla registrations fell 30.5% in Denmark, 36% in the Netherlands, 19% in Spain, and a massive 68% in Portugal.
As of 11:49:35 GMT-4. Market open.
There was some good news, though. EV-crazed Norway was the only territory in Europe to show sales gains for May. Per the Norwegian Road Federation (OFV), sales of the Model Y (both new and old) surged 213% in May to 2,346 units from 690. EV market share in Norway in May was nearly 94%, making it one of the top EV markets in the world.
Nevertheless, Tesla sales were expected to rise in most territories following the company’s release of the refreshed Model Y, which has been generally well-received by critics. The refreshed Model Y is available for sale in the regions noted above. However, Reuters noted that the cheapest Model Y (rear-wheel-drive version with standard battery) is not available for sale yet. A check of Tesla’s UK and Germany websites says those vehicles will be available this month.
Tesla’s troubles in May are not new. Per the European Automobile Manufacturers Association (ACEA), Tesla EV registrations in Europe fell a whopping 49% in April compared to a year ago, to 14,228. Meanwhile, overall EV registrations in the region (which includes the UK and the European Free Trade Association) rose 34.1% in April, with overall registrations down 0.3%.
Tesla’s April drop marks its fourth straight down month in Europe, while other reports show EVs from Volkswagen, BMW, and China’s BYD making gains.
Demand weakness in the EU and recent protests at US Tesla showrooms follow CEO Elon Musk’s foray into politics, causing some Tesla owners to become alienated by Musk, specifically by his right-leaning tendencies, leadership of the Department of Government Efficiency (DOGE), and outward support of President Trump.
Some relief from the brand issues affecting Tesla and Musk may come now that the mercurial CEO marked his last day in Washington last Friday. But the odd press conference in the Oval Office won’t help. The New York Times reported Friday morning that Musk allegedly abused both illicit and pharmaceutical drugs “far more intensely than previously known” while on the campaign trail for Trump.
