Tesla’s European sales fell sharply in July, with the electric carmaker losing market share for a seventh consecutive month and slipping behind Chinese rival BYD for the first time.
Figures from the European Automobile Manufacturers Association (ACEA) show Tesla’s EU sales dropped 42.4 per cent year on year, from 11,465 to 6,600 vehicles. That cut the company’s market share from 1.3 per cent to just 0.7 per cent.
BYD, which was included in the EU monthly sales data for the first time, recorded a surge in registrations from 3,165 to 9,698, lifting its share to 1.1 per cent and leapfrogging Tesla in the rankings.
The slump in Tesla’s performance came despite strong growth for the sector overall. Battery electric vehicle sales across the EU rose 39 per cent to 142,699 units. Total new car sales increased 7.4 per cent to 914,680, boosted by an 11 per cent rise in Germany that offset declines of 7.7 per cent in France and 5.1 per cent in Italy.
The data underline the mounting competitive pressures facing Tesla in Europe, where it once dominated the electric car market but is now grappling with slowing demand, price pressures, and the rapid expansion of Chinese rivals.
With BYD’s momentum accelerating, analysts say Tesla faces a battle to regain share in a market that is becoming increasingly crowded as traditional manufacturers ramp up their EV offerings alongside new entrants.
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Tesla sales slump 42% in Europe as BYD overtakes market share