
The data is in for Tesla’s full year 2025 in Europe, and frankly, it’s a bloodbath across most major markets. Every market in Europe showed a substantial decline (ranging from -4.1% to -66.9%). There’s a single exception, Norway, and Tesla can’t even count on this market in 2026 because the growth in Norway was caused by changing regulations for 2026, that brought forward car purchases into the last two month of 2025.
According to registration data compiled from major European markets, Tesla saw its total volume drop from roughly 326,000 units in 2024 to just over 235,000 in 2025. That is a staggering 27.8% year-over-year decline
The truth is that this is an impressive demand cliff by any standard that points to significant brand problems, which are due to a mix of Elon Musk, Tesla’s CEO, becoming highly toxic, and Tesla’s EV lineup becoming stale amid tougher competition.
Source: Electrek: Read The Article
PSR Analysis: Tesla needs to understand that Europe doesn’t need a cheaper Model 3, Europe needs a smaller car. The Model 3 is simply too big for our roads and cities but even this wouldn’t address the other huge problem that is afflicting Tesla in Europe — the toxic image of the CEO. PSR
Guy Youngs is Forecast & Adoption Lead at Power Systems Research