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Musk, Elon

Tesla Sales Slump in Europe Amid Elon Musk Controversies

Strategic Insights

— 1 min read

The European Automobile Manufacturers' Association (ACEA) reported a significant drop in Tesla registrations across the EU, the UK, and the broader European Free Trade Association bloc. The numbers show a 49% decline in Tesla registrations, from 14,228 in April 2023 to 7,261 last month. This decline comes despite a broader rise in battery electric vehicles overall, with a 27.8% increase in April compared to the same month last year. Overall, Tesla's sales slump in Europe is attributed to Elon Musk's political ties and vocal support for the far-right Alternative für Deutschland (AfD) party.

Key Takeaways:

  • Tesla registrations fell by 49% in April 2024 compared to the same month a year earlier, from 14,228 to 7,261.
  • The decline in Tesla registrations suggests that the brand damage caused by Elon Musk's political interventions may be lasting, according to Russ Mould of AJ Bell.
  • Total car registrations rose for the Chinese state-owned manufacturer SAIC, owner of the British brand MG, and the Japanese carmaker Mitsubishi.
  • Sales of plug-in hybrid cars rose by 31.3% in April, while petrol and diesel cars experienced declines of 22.4% and 24.7% respectively.
  • In the UK, Tesla registered just 512 new vehicles in April, down 62% from a year earlier, according to the Society of Motor Manufacturers and Traders.
  • Tesla reported a 13% drop in vehicle sales in the first three months of the year, making it the worst quarter since 2022.
  • Musk's statement that Europe is Tesla's weakest market, but it is "strong everywhere else", contradicts the sales data.
  • Analysts at UBS suggest that in China, Tesla is losing to local electric vehicle brands, with the Chinese company BYD reporting global sales of more than $100bn last year and overtaking Tesla as the world's biggest electric car company by revenue.

Statistics:

  • Tesla registrations fell by 49% in April 2024, from 14,228 to 7,261.
  • Battery electric car sales rose by 27.8% in April, compared to a 22.4% drop in petrol cars and a 24.7% drop in diesel cars.
  • Plug-in hybrid car sales increased by 31.3% in April.
  • Total car registrations rose for SAIC, owner of the British brand MG, and Mitsubishi.
  • Tesla registered 512 new vehicles in April in the UK, down 62% from a year earlier.

Sources:

  • European Automobile Manufacturers' Association (ACEA)
  • Russ Mould, AJ Bell
  • Society of Motor Manufacturers and Traders
  • Bloomberg
  • UBS
  • BYD
  • Tesla

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