Tesla's Long-Term Sales Decline in Europe — Can Cheaper Models & "Full Self Driving" Turn Things Around? - CleanTechnica

Tesla’s market share in the European battery electric vehicle (BEV) market has significantly declined over the past eight years, dropping from 23.4% in Q3 2017 to 10.2% in Q3 2025, with a peak of 36% in Q3 2019. This decline is not solely due to market growth but also reflects a substantial decrease in Tesla’s actual sales volumes across Europe. Other notable trends include a collapse in Renault’s EV market share and shifts among other leading brands like Audi gaining ground at BMW’s expense. The year 2025, in particular, has been challenging for Tesla, showing more than a 50% sales drop compared to 2024 in every quarter. To counteract this downturn, Tesla is employing two main strategies in Europe. First, it has introduced cheaper, decontented versions of the Model 3 and Model Y, aiming to leverage price competitiveness alongside government incentives to attract more buyers. However, the effectiveness