Tesla stalls in Europe as Chinese EVs surge, buyer sentiment shifts
BERLIN, May 27 — Tesla's sales in Europe fell 49 per cent in April from a year earlier, even as battery-electric sales rose by 27.8 per cent, as the US EV maker's upgrade of its Model Y shows little sign of improving the brand's tarnished image in the region.
Overall car sales in the region remained roughly consistent with last year, falling just 0.3 per cent, with the strongest sales growth coming from electric and plug-in hybrid cars, data by the European Automobile Manufacturers Association (ACEA) showed.
Why it's important
Tesla's sales in Europe continue to drop, reflecting a shift away from the brand as Chinese competition strengthens and some protest against Elon Musk's political views.
European carmakers strive to cut domestic costs and tackle competition amid US tariffs on auto imports and a slowing global economy, with uncertainty overshadowing the industry's outlook despite eased US-China trade tensions.
By the numbers
April sales in the European Union, Britain and the European Free Trade Association (EFTA) fell to 1.07 million cars, following a 2.8 per cent growth a month before, the ACEA data showed.
Registrations at Chinese state-owned automaker SAIC Motor and Mitsubishi grew by 24.5 per cent and 22.1 per cent respectively, while they fell by 24.5 per cent at Mazda.
Tesla's sales fell for a fourth month in a row, down 49 per cent year-on-year, and its share of the total market nearly halved to 0.7 per cent from 1.3 per cent a year ago.
In just the EU – not including Britain and the EFTA – total car sales fell 1.2 per cent year-on-year, declining for a fourth consecutive month, as the registrations of battery electric (BEV), plug-in hybrid (PHEV) and hybrid electric (HEV) cars grew by 26.4 per cent, 7.8 per cent and 20.8 per cent respectively.
A Tesla car is pictured after being smashed-up at an anti Elon Musk protest, in south London on April 10, 2025. — AFP pic
Electrified vehicles – either BEV, HEV or PHEV – sold in the bloc accounted for 59.2 per cent of passenger car registrations in April, up from 47.7 per cent in the previous year.
Among the largest EU markets, total car sales in Spain and Italy increased by 7.1 per cent and 2.7 per cent respectively, while in France and Germany they dropped by 5.6 per cent and 0.2 per cent.
In Britain, registrations were down 10.4 per cent.
Context
Growing interest in Europe's EV market, driven by emission targets and cheaper models, contrasts with global policies encouraging EVs amid trade tensions, slowing markets, and potential plant closures and job losses. — Reuters
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Free Malaysia Today
5 hours ago
- Free Malaysia Today
Mercedes sees itself as ‘sounding board' in tariff talks, says CEO
Mercedes-Benz CEO Ola Kaellenius said negotiations take place at the EU level because trade policy falls within the EU's remit. (EPA Images pic) BERLIN : Mercedes-Benz views itself as a 'sounding board' that contributes ideas in tariff negotiations between the EU and the US, CEO Ola Kaellenius told the Frankfurter Allgemeine Zeitung newspaper today. 'As a company, we hold talks with political decision-makers – in the EU as well as in China and the US,' said Kaellenius. 'However, negotiations take place at EU level because trade policy falls within the EU's remit. 'We are available as a sounding board, contributing ideas and presenting scenarios showing how certain decisions would affect us,' he added. Mercedes-Benz, as well as BMW and Volkswagen, are in talks with Washington over a possible import tariff deal, sources told Reuters late last month. 'Under one proposal on the table, German carmakers would get credits for cars they export from the US, which could then be deducted from tariffs,' one of the sources said. Kaellenius' interview was published hours before Germany's new chancellor, Friedrich Merz, will hold his first face-to-face talks with US President Donald Trump as Europe seeks to stave off looming US tariffs.
Malay Mail
5 hours ago
- Malay Mail
Elon's revenge? Musk torpedoes Trump's ‘big, beautiful bill'
WASHINGTON, June 5 — Donald Trump's sweeping domestic policy bill has careened into an Elon Musk-shaped brick wall, complicating its passage into law and risking a schism between the most powerful man in the world and the wealthiest. The US president's 'big, beautiful bill' – the centerpiece of his domestic agenda – could define his second term and make or break Republican prospects in the 2026 midterm elections. But the package is getting a rough ride in Congress over proposals to fund an extension of his 2017 tax cuts by piling on debt and cutting social welfare for the poorest Americans. Enter tech billionaire Musk, who dropped a nuclear bomb on the 1,100-page blueprint at a crucial stage in negotiations Tuesday, calling it a 'disgusting abomination.' And on Wednesday he called for Republicans to 'kill the bill,' and for an alternative plan that 'doesn't massively grow the deficit.' In its latest estimate released Wednesday, the non-partisan Congressional Budget Office said the bill would add US$2.4 trillion to US debt by 2034. Musk, who last week ended his brief advisory tenure as Trump's cost-cutter-in-chief, tore into the bill in a prolonged denouncement. The South African-born tycoon has voiced concerns before, but his language was much more combative, coming across as a declaration of war on the Republican Party, if not Trump himself. The White House brushed off the criticism, saying Trump 'already knows where Elon Musk stood,' but the remarks will likely have gotten under the president's skin. 'Lennon and McCartney' The stakes could hardly be higher for Trump, who has made clear, with signature hyperbole, that he sees his bill as 'arguably the most significant piece of legislation that will ever be signed.' He has yet to respond personally to Musk's social media rant – sustained over six hours and 13 posts on Tuesday and still going well into Wednesday. But Washington watchers aren't necessarily expecting a public falling-out. Behind the scenes, a careful circling of the wagons is underway, with pro-Trump pundits under orders to refrain from trashing Musk and to instead frame his broadside as what Politico called 'principled self-interest.' Still, for analysts contacted by AFP, there may be choppier waters ahead. 'It's the Lennon and McCartney of modern politics. Two egos, one spotlight, and a fragile alliance built on mutual benefits,' said Evan Nierman, the founder and CEO of global crisis PR firm Red Banyan. 'The moment either one sees more upside in conflict than cooperation, the breakup goes public.' But political consultant and former Senate aide Andrew Koneschusky, a key player in negotiations over Trump's 2017 tax cuts, believes the Republican leader has nothing to gain by biting back. 'Musk has more money. Musk's megaphone, X, is bigger than Trump's. And Musk was deeply embedded in the administration for months,' he told AFP. 'There's no telling what Musk heard or saw that could be embarrassing or problematic for the administration if the two were to go to war.' 'Bromance' Musk – who has cash to spare for his political adventures, including US$280 million lavished on Trump's election campaign – slammed the Republicans who cleared the bill for Senate consideration and threatened to have their jobs in the midterms. And the de facto leader of America's 'tech bro' community demonstrated his political firepower with a single tweet in December that blew up a government funding bill that had enjoyed bipartisan support. His take on the deficit implications of Trump's proposals is evidenced by copious independent research and he was immediately backed by some fiscal hawks in the Senate. Continued interventions by Musk could be an ongoing headache for Trump, as he bids to shepherd his policy priorities through razor-thin Republican majorities in Congress. But cheerleaders of the package – and independent analysts contacted by AFP – believe the Tesla magnate may discover that his celebrity in Trumpworld relies on the say-so of its mercurial chieftain. 'Musk may have had influence in December when his bromance with Trump was in full bloom,' said Donald Nieman, a political analyst and professor at Binghamton University in New York state. 'But his break with Trump and his massive unpopularity with voters makes it easy for lawmakers to ignore him. If anything, it helps Trump by distancing him from a man who has become a pariah.' — AFP
Free Malaysia Today
8 hours ago
- Free Malaysia Today
Clean energy investment rising despite economic uncertainty, says IEA
The International Energy Agency said the shift in US policies is expected to impact investment in renewable energy. (Freepik pic) PARIS : Investment in clean energy technologies is set to strike a record this year despite global economic uncertainty, double the spending on fossil fuels that will dip for the first time since 2020, the International Energy Agency (IEA) said today. While the Trump administration has been hostile to renewable energy sources and trumpets boosting oil production, the IEA said security concerns, as well as rising demand for electricity, including from artificial intelligence (AI) and data centres, are driving investment in clean energy sources. 'Amid the geopolitical and economic uncertainties that are clouding the outlook for the energy world, we see energy security coming through as a key driver of the growth in global investment this year to a record US$3.3 trillion as countries and companies seek to insulate themselves from a wide range of risks,' executive director Fatih Birol said as the IEA published its latest annual World Energy Investment report. It expects investment in clean technologies, including nuclear and electricity distribution grids, to hit a record US$2.2 trillion this year. Meanwhile, investment in oil, natural gas and coal is set to dip to US$1.1 billion, as companies react to falling prices and lower demand expectations. Most of drop is due to investment in US oil production, while investment in liquefied natural gas (LNG) projects there and elsewhere is expected to lead to the largest-ever capacity growth in 2026-2028. Since returning to the White House, Trump has slapped a 10% tariff on most trading partners, alongside higher rates on dozens of economies, including China and the EU, that have since been reduced or put on pause until early July while negotiations are held. Earlier this week the OECD slashed its annual global growth forecast, warning that Trump's tariffs blitz would stifle the world economy. However, energy investments haven't suffered yet. 'The fast-evolving economic and trade picture means that some investors are adopting a wait-and-see approach to new energy project approvals, but in most areas we have yet to see significant implications for existing projects,' Birol said. US renewables to 'level off' However, IEA said the shift in US policies would impact investment there in renewables. 'Spending on renewables and low-emissions fuels in the US almost doubled over the last 10 years but is now set to level off as supportive policies are scaled back,' it said. The report found the rapid rise in electricity demand – for industry, cooling, electric mobility, data centres and AI – was also shaping investment trends. The sector is expected attract US$1.5 trillion in investments this year, 50% more than fossil fuels. The IEA also noted that nuclear energy has been making a comeback as electricity demand from data centres risks doubling in the next five years. While renewables are expected to meet most of that additional demand, the steady supply that nuclear plants offer have prompted a number of tech companies to enter into supply agreements. However, the Paris-based IEA, which advises industrial nations on energy policy, warned that spending on electricity grids was not keeping up with investment into generation. In addition to lengthy permitting procedures, grid expansion was also being held back by tight supply of transformers and cable, it found. Despite the rising levels of investment in renewable energy production, the IEA said it must double to achieve the goal set at the 2024 UN climate conference: a tripling of the installed renewable capacity by 2030. The urgent demand for power means new plants using dirty fuels such as coal are still being built, with a 4% increase in investment expected this year. 'In the face of rapid electricity demand growth and concerns linked to security of supply, such as various geopolitical risks as well as uncertainties over hydropower output, China and India are approving increasing amounts of new coal-fired power,' said the IEA report.
