Tesla sales in Sweden, Denmark and France fall for the seventh month in a row
Photo: EPA

Sales of new electric vehicles Tesla in Sweden, Denmark, and France in July 2025 have been falling for the seventh month in a row due to political views Elon Muskthe company's business is also facing stricter regulations in Europe and increased competition from local and Chinese manufacturers. About writes Reuters.

For example, Tesla's sales fell in July:

  • in Sweden – by 86%, to 163 cars;
  • in Denmark – by 52%, to 336 cars;
  • in France – by 27%, to 1,307 cars.

Overall, in the first half of 2025, Tesla's sales in Europe fell by more than a third.

Analysts note that the company has an outdated model lineup, while more and more cheaper and technologically competitive electric vehicles are entering the market, especially from China.

Tesla is preparing an updated version of the Model Y and a new low-cost model, but mass production of the latter will start only in the next quarter, later than planned.

Musk acknowledged that the company is facing "a few challenging quarters". One of the reasons he cited is the strict rules on automated driving systems in the EU, which means that Model Y cannot offer customers the full package of features available in the US.

In July, Model Y registrations in Sweden fell by 88% and in Denmark by 49%.

European automakers Volkswagen, Mercedes-Benz, Stellantis, Renault, and BMW also reported weak results for the second quarter, warning of pressure from U.S. tariffs and declining demand.

  • Recently, Tesla suggested discounts and financial incentives for all models to support sales in the coming months.
  • In the second quarter of 2025 Tesla sold 14% less cars than in the same period last year.