January 2025: Tesla Sold Fewer Cars Than Jeep in Europe!

In a market for electric vehicles that rose by 50% in Europe in January 2025, Tesla, on the other hand, saw its sales plummet to 7,517 units.

The numbers are stubborn: a 50.3% drop in sales and a stock price that has lost a third of its value in the span of a month. Tesla is doing very poorly, and the magic seems to have evaporated. There is certainly the argument of customer hesitation to take advantage of the rise of the Tesla Model Y, but that’s not the only reason.

Of course, Elon Musk’s very divisive political positions impact sales, causing some owners or customers to turn away. Politicizing a business is never good for business. Still, the drop in sales is an unparalleled violence, aside from Jaguar, which is now a dying brand due to a lack of product planning.

Tesla watches others progress

For Tesla, the issue isn’t so much the renewal of its Model Y as it is the rise of its competitors. In this regard, market shares captured especially by European manufacturers will be lost for a long time. Thus, the January 2025 report from the ACEA is eloquent.

In France, to benefit from the old ecological bonus scheme of 4,000 euros, electric vehicles ordered before December 2, 2024, needed to be delivered before February 14. This deadline led to a surge in registrations of electric cars (+59%), bringing their market share to 25% up to that date, before dropping for the rest of the month to -2%, to reach 18%. This level remains slightly above the recent average for 2024, estimated at around 17%.

Some brands stand out due to strong momentum in the electric market. Renault recorded the largest sales volumes (+57%), mainly thanks to the success of the Renault 5, while the first examples of the Renault 4 are beginning to appear in B-SUV registrations. Other manufacturers have more than doubled their electric sales, such as Citroën, which places its ë-C3 at the top, and Volkswagen.

Tesla’s rebound in February?

Moreover, Skoda shows an impressive increase (+85%) with the launch of its compact SUV Elroq, while Hyundai (+71%) and DS (+72%) are progressing on more modest volumes, starting the registration of their first DS 8 in the D segment.

For Tesla, the hope for a rebound – whether timid or strong – is on everyone’s mind now that the Model Y 2.0 is in dealerships. However, there remains the problem of not having any other strong model in its catalog. Sedans are no longer appealing in Europe (Model 3), and a base model costing over 40,000 euros is too high a threshold to attract many customers. Where does the project for a Tesla at 25,000 euros stand? No one knows; the blackout has been total for months, and Musk seems less concerned about the future of his automotive firm.

Furthermore, the trade war looming between the United States and the rest of the world, including Europe, will further complicate Tesla’s life on the Old Continent in the coming months.