Tesla experiences a significant 45% drop in sales
Total electric vehicle sales from January to March 2025 in the European Union dropped by a substantial 25.1%, with Tesla experiencing a decrease of 13.5% compared to the same period in 2024. These numbers contrasted the Average increase of 23.9% for electric cars in the same period.
In March, Tesla sold 13,860 vehicles in the EU, while in the European Union, there were 15,055 units sold in the same month in 2024. Countries such as Latvia and Cyprus experienced significant growth, with electric car sales increasing by 344% and 140% respectively. On the other hand, Estonia saw a drop of 29.3%, followed by France with a decrease of 6.6%.
During the first quarter, car registrations for all engine types in the single market dropped by 1.9%. Despite this overall decline, battery-electric car registrations rose by a respectable 12% compared to the same period in 2024. Strong increases were observed in Spain (93%), Germany (+35.5%), and Italy (74.8%), while France saw a decrease of 13.9%.
The European Automobile Manufacturers Association (ACEA) noted that the unpredictable and challenging global economic context affected automakers, causing a 0.2% decrease in sales between March 2024 and March 2025. By Q1 of 2025, 412,997 electric vehicles were registered, representing a 15.2% share of the EU market.
In terms of individual months, overall electric car registrations increased by 17.1% in March 2025, with positive results in Spain, Germany, and Italy. However, France saw a decrease of 13.9%. In annual terms, electric vehicle sales saw a global increase of 23.9%, with significant increases in several EU countries, such as Spain, Germany, Italy, Belgium, and the Netherlands.
Plug-in hybrids saw a 12.4% increase in sales in March, while non-plug-in hybrids enjoyed a 23.9% hike. During the first quarter, there were 1.1% more plug-in hybrids, and 20.7% more non-plug-in hybrids.
The market share of cars with combustion engines (diesel and gasoline) dropped from 48.3% to 38.3% between January and March 2025. The number of gasoline car registrations fell by 20.6% during the same period, with decreases in France (-34.1%), Germany (-26.6%), Italy (-15.8%), and Spain (-9.5%). Diesel car registrations fell by 27.1%, now accounting for just 9.5% of the EU market.
Despite these declines, electric and hybrid vehicles captured a greater share of the EU market, reaching 59.2% of new registrations in March 2025, up from 49.1% a year earlier. As the demand for sustainable transportation options continues to grow, it's expected that electric and hybrid vehicles will further capture a larger share of the EU market in the near future.
- The decline in electric vehicle sales for Tesla in the EU during the first quarter of 2025, contrasting the average increase of other electric cars, is a significant trend in the automotive industry.
- Although theEuropean Union's car registrations for all engine types saw a drop in the first quarter, there was a 12% rise in registrations for battery-electric vehicles, indicating a growing interest in electric vehicles within the transportation sector.
- The growth of electric vehicle sales in Spain, Germany, and Italy, along with other EU countries like Belgium and the Netherlands, reflects a shift in lifestyle preferences towards sustainable technology.
- With the decreasing market share of cars with combustion engines and the increasing demand for sustainable transportation options, the future of the European automotive industry seems to be heavily influenced by the rise of electric and hybrid vehicles.
