Car sales decline in the European Union. EVs rise, but Tesla crashes

Brussels – Car sales in the European Union are declining, and Tesla sales in particular are plummeting, despite a robust increase in the electric car market. As of March 2025, new cars registered in the area that includes the European Union, EFTA countries and the United Kingdom totalled 1,422,628, up 2.8 per cent compared to March 2024.

The figure for the European Union alone, however, declines by 0.2 per cent.

Between January and March 2025, 3,382,057 new cars were registered, a 0.4 per cent decrease compared to the January–March 2024 period. The decline in the EU was 1.9 per cent in this case. These figures were released by the European Automobile Manufacturers’ Association (ACEA), which reports a staggering drop in Tesla sales in the EU.

Restrained by its boss Elon Musk’s reputation and a non-revamped range, the Tesla brand saw its EU registrations drop 36 per cent in March compared to March 2024 and nearly halve in the entire first quarter: sales mark a cumulative -45 per cent since the beginning of the year, down to 36,167 vehicles compared to 65,774 in the first three months of 2024, the largest relative decline over the period among major automakers. In the meantime, however, electric vehicle registrations increased overall by 17.1 per cent year-on-year in March, now accounting for 15.2 per cent of the market.