February was a challenging month for Tesla in Europe. Even as BEVs’ overall registration increased annually by 25%, Tesla’s figures dropped dramatically. Registrations of electric vehicles of the American EV giant in Europe dropped by 44%, and its share plunged to 9.6%, the lowest ever for the month of February in the last five years. This is a follow up to our previous article where Volkswagen and BMW Group EVs overtake Tesla in February European sales.
The EV Market In Europe
While the general trend in Europe remained positive in terms of BEV adoption, Tesla’s problems opened opportunities for others, particularly Chinese-owned ones. As a group, these companies registered close to 20,000 new BEVs, which is slightly more than Tesla, 15,700. Meanwhile, BYD and Polestar managed to achieve a 94% and 84% increase in registration, while Xpeng and Leapmotor also posted good figures. Volvo, another Chinese-owned brand that has been witnessing a decline in its registrations of BEVs, shrank by 30% during the same year.
This comes at a time when Tesla is in a changeover of the Model Y as the company discontinues the old model to produce the new Model Y. The Model Y, which the company previously sold the most in Europe, declined in registrations by 56% in February. The Model 3 was also down 14%. This decline in sales points to a weakness that is characteristic of Tesla regarding its restricted product portfolio, particularly during transitions.
In China, The Sales Tell A Different Story
The situation in China is quite different; Tesla still holds the majority of the market share. It also moved 48,189 units during the same month and enjoys a robust position in the domestic market of NEVs in the country. In Europe, consumer behavior and growing competition are the major factors that are changing the prospects.
It was a tough month for the European car market in general as the total new car registrations this year fell to 966,300 units, a 3% decline compared to the same month last year. Germany, Italy, Belgium, the Netherlands, Switzerland, and Ireland recorded a decrease, cutting the year-to-date volume to 2%. Some of the reasons that are attributed include, but are not limited to, volatility in the economy as well as influence from other markets globally.
Overall Market
Among mainstream carmakers, Renault Group was the best performer of the month. They noted an overall rise of 12% in the overall volumes and a stunning increment of 96% on the BEV registration thanks to the Renault 5, Renault Symbioz, and constant favor of Clio and Dacia Duster models. That is, there was a 108% increase in the sales of BEVs in the Volkswagen Group, wherein it continues to dominate in terms of market share.
Other brands with a significant BEV increase were Audi, Kia, Skoda, Citroen, Cupra, Mini, and Ford with an increase of 67%, 56%, 63%, 190%, 179%, 804%, and 146% respectively. Thus, apart from Tesla, MG, Fiat, Jeep, and Smart posted lower BEV sales in the period.
While Tesla struggled in key European markets like France and Sweden, where registrations declined in February, the brand saw a notable rebound in Italy with a 51% year-over-year increase in sales. This uptick contrasts sharply with its broader European downturn and suggests that regional dynamics and consumer sentiment toward EVs vary significantly across the continent. Tesla’s growth in Italy highlights pockets of resilience amid a challenging period for the brand in Europe.
