Tesla Sales Dip in Europe Amidst Elon Musk's Political Controversies
Tesla's sales have declined across key European markets, including the United Kingdom and France, as rivals with newer models gain market share. January sales data reveal:
- 12% decline in the UK
- 63% decline in France
- 44% and 38% declines in Sweden and Norway, respectively
- 42% decline in the Netherlands
In California, Tesla's largest U.S. market, sales fell by 12%. Despite this, Tesla remains the leading EV seller in the United States.
Elon Musk's recent political endeavors, including financial support for Donald Trump and vocal support for far-right parties, have contributed to a decline in public opinion towards Tesla.
A recent survey by Electrifying.com found that 59% of British EV owners and prospective buyers would be deterred from purchasing a Tesla due to Musk's influence.
European politicians have also criticized Musk's recent comments amplifying far-right content on social media platform X.
Tesla's problems are compounded by its lack of innovation since launching the Model Y in 2020, while rivals, including Chinese EV makers, introduce fresher products.
Despite these challenges, Tesla's stock has outperformed the market, with shares more than doubling over the past year. However, the company's forward price-to-earnings ratio remains high compared to legacy carmakers and tech stocks.