Tesla loses ground: electric car sales collapse worldwide
By ForGeeks Tesla, long considered the market leader in electric cars, is facing a sharp drop in sales. Elon Musk’s ties to Donald Trump and far-right political movements, as well as the billionaire’s controversial public gestures, have begun to take a toll on the company’s image. The decline has been particularly severe in Europe and Australia, where registrations of new Tesla cars have fallen by tens of percent.
Tesla sales collapse in Europe
According to Electrek, Tesla’s sales in Europe last month fell 50 percent from the same period in 2024. The situation is particularly difficult in Germany, Europe’s largest car market. The company delivered just 1,429 new cars in February 2025, down from more than 6,000 a year earlier. That is a 76% drop, one of the worst results in Tesla’s history in the region.
One of the possible reasons for the crisis is called Ilon Musk’s support of the far-right Alternative for Germany (AfD) party in the last election. Experts say that the billionaire’s political views are increasingly alienating customers, especially in Europe, where such topics are perceived as highly sensitive.
Some experts say that the billionaire’s political views are increasingly alienating customers, especially in Europe.
The crisis has hit other regions
Tesla’s troubles extend beyond Europe. In Australia, the company’s sales collapsed by 72% in February 2025. According to official figures, Tesla sold 1,592 cars, compared to a year ago in the same period, when it sold 5,665 cars.
As a whole, according to the Association of European Automobile Manufacturers (ACEA), registrations of Tesla electric cars in the EU, UK, Iceland, Norway, Switzerland and Liechtenstein decreased by 45% from January 2024 to January 2025.
What’s next for Tesla?
Although the company remains the largest player in the electric car market, its position no longer seems immovable. Musk has not only faced slowing demand growth, but also image problems related to his political activism. The question is whether Tesla can regain customer confidence or whether its dominance in the electric car market will wane in the face of new competitors.
