Tesla is in trouble in Europe. The electric carmaker’s sales crashed by nearly 50% in April, while the rest of the electric vehicle (EV) market surged ahead.
New data from the European Automobile Manufacturers’ Association (ACEA) shows Tesla sold just 7,261 vehicles last month, down from 14,228 a year earlier. That’s a 49% drop. From January to April, sales were down 39%.
At the same time, the overall European EV market jumped 34.1%, hitting 145,341 new registrations. Tesla’s share of that market? Just 0.7%, nearly cut in half from 1.3% a year ago.
The drop is not just about competition — though Tesla is feeling the heat from cheaper Chinese EV brands like BYD and SAIC, whose sales in Europe soared by 54%. A growing number of European buyers are also choosing hybrids over fully electric vehicles, which hurts Tesla since it doesn’t sell any hybrids.
But what’s hitting hardest may be the backlash against CEO Elon Musk.
In March, a Tesla dealership in Rome was set on fire, destroying 17 cars. An anonymous group claimed responsibility, calling it a protest against “Musk’s fascist project.” There have also been public demonstrations across Europe targeting Musk for his political ties, especially his close relationship with Donald Trump and his controversial role leading the Department of Government Efficiency (DOGE).
Musk’s politics are turning off some of Tesla’s European customer base. And the company hasn’t given them many new reasons to stick around. The only major release this year has been a modest update to the Model Y SUV. The much-hyped Cybertruck still isn’t available in Europe — and demand for it seems to be collapsing elsewhere, too.
Making matters worse, Tesla had to temporarily shut down factories to retool the Model Y, choking off supply just as demand slipped.
Meanwhile, questions are mounting about Musk’s focus. Investors are growing uneasy about the time he’s spending on DOGE. The Wall Street Journal reported the Tesla board may be looking for a new CEO, though both Musk and Tesla strongly denied it. Musk later said he would cut back on government duties, devoting only “a day or two per week” to DOGE and spending more time on Tesla.
It’s not just Europe. The company has also scrapped the $16,000 Cybertruck range extender, likely due to low interest. And reports say Tesla is now accepting trade-ins on the Cybertruck — but with steep depreciation, signaling early demand is drying up fast.
In the background, global markets are reacting to U.S.–EU trade tensions. On Sunday, President Trump backed off a threat to impose 50% tariffs on European imports. Stocks jumped, including Tesla, which rose 2.7% in premarket trading. But that brief bounce doesn’t change the fact: Tesla is losing ground fast in Europe — and Elon Musk is a big reason why.