American manufacturer Tesla has continued to lose ground in the German automotive market in February, even as overall electric vehicle registrations have increased, according to figures released on Wednesday.
Tesla, which exclusively sells electric cars, sold only 1,429 vehicles last month, representing a year-on-year drop of 76.3%, following a significant decline in January amid controversies surrounding Elon Musk, the American company’s CEO, as per the Federal Motor Transport Authority (KBA).
Sales have also dropped around 70% in Austria and Switzerland, 54% in Italy and Belgium, and 26% in France.
It remains challenging to gauge the extent to which Musk’s support for the far-right in Europe is deterring potential customers.
Tesla is also struggling due to a range change, as it rolls out a new version of its flagship SUV, the Model Y.
Tesla’s sales in Germany have been declining for over a year, reflecting the challenges in the electric car market, primarily due to the end of purchase incentives and inflation.
However, this decline in February contrasts with the overall rebound in the electric vehicle market since January. In February, electric registrations rose again by 31% year-on-year, with 35,949 units sold.
"Former market leader Tesla has not benefited from the positive trend in new electric registrations," noted Constantin Gall, analyst at EY, who observed a decline for the brand "in most European countries."
Tesla’s share of the German electric vehicle market was only 4%, far below their average market share close to 10% in 2024.
It operates its only European factory near Berlin, which produces the Model Y and Model 3.
