Tesla vehicle sales in France have experienced a significant downturn, with a 67% drop in May 2025 compared to the same month in 2024. The company delivered only 721 vehicles, down from 2,197 the previous year. This decline is notably steeper than the overall 12.3% decrease in French vehicle deliveries during the same period. Over the first five months of 2025, Tesla sales in France have fallen by 47%, totaling 8,277 vehicles compared to 15,685 in the same timeframe last year.
Several factors contribute to this decline. Tesla faces intensified competition from both European and Chinese electric vehicle (EV) manufacturers. Chinese automaker BYD, for instance, has surpassed Tesla in European sales for the first time, offering more affordable EV options that appeal to cost-conscious consumers . Additionally, traditional European brands like Renault and Volkswagen are gaining market share with new models tailored to local preferences.
The company’s challenges are further compounded by CEO Elon Musk’s controversial political statements, including his endorsement of far-right parties in Europe. These actions have sparked backlash and may be influencing consumer sentiment negatively towards the Tesla brand . In some cases, Tesla vehicles and dealerships have been targets of vandalism, reflecting the growing discontent.
Tesla product lineup is also under scrutiny. The Model Y, despite recent updates, faces stiff competition from newer models like the Renault 5 E-Tech, which has overtaken the Model Y in sales in France . Consumers are increasingly seeking vehicles that offer a combination of affordability, modern features, and alignment with local tastes.
In response to declining sales, Tesla has introduced financial incentives in France, including competitive lease options and a €4,000 bonus, to boost Model Y sales. These offers have led to a temporary surge in registrations, with 4,592 new Model Y vehicles registered in September 2024, accounting for 24% of the model’s year-to-date sales . However, it’s uncertain whether these measures will have a lasting impact on reversing the downward trend.
Tesla struggles in France are indicative of broader challenges the company faces in Europe. With increasing competition, shifting consumer preferences, and political controversies, Tesla market share is under pressure. The company’s ability to adapt to these dynamics will be crucial in determining its future success in the European EV market.
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