Tesla sales decline in Germany as drivers steer clear of Musk
- 5 hours ago
Tesla sales nosedived again in Germany last month even as electric vehicle sales rose strongly, data showed on Tuesday, as German drivers voted with their wallets against billionaire owner Elon Musk.
Just 885 Tesla electric vehicles (EVs) were registered in April, 45.9 per cent fewer than the same month last year, the KBA federal transport authority said.
That was almost half as many as BYD, a Chinese competitor, managed: 1,556 BYDs were registered in April, a rise of 756 per cent on the year.
At the same time, overall EV registrations rose 53.5 per cent year-on-year and now account for almost 19 per cent of the market, the highest share since the government removed a subsidy for electric vehicles in December 2023.
Tesla’s sales have been slowing worldwide due to a combination of fierce Chinese competition as well as anger at Musk’s outspoken political positions.
He has faced particular hostility in Germany for backing the far-right Alternative for Germany (AfD) before February’s general election by appearing via video link at a rally and broadcasting a conversation with its co-leader, Alice Weidel, on his X platform.
Other political parties in Germany shun the AfD and Germany’s domestic intelligence agency last week classified it as a right-wing extremist organisation.
Some German Tesla drivers have put “I bought this before Elon went crazy” stickers on their vehicles and the backlash has also taken more forceful forms.
Tesla cars have been targeted in suspected arson attacks in Berlin and Dresden, and protesters have staged demonstrations against the carmaker.
Over the three months to April, Tesla registrations fell a whopping 60.4 per cent from the same period a year ago.
Overall car registrations in Germany fell 0.2 per cent in April versus the previous year, a sign that the market is stabilising after they fell almost four per cent in March.
Tesla chairman Robyn Denholm last week denied that the carmaker’s board was looking to replace Musk as CEO.
British new car registrations fell more than 10% year-on-year in April, including a 62% plunge for Tesla, hit by weak consumer confidence and tax increases, industry data showed on Tuesday.
The Society of Motor Manufacturers and Traders said 120,331 vehicles were registered in the traditionally quieter month of April, with sales of new Teslas slumping to 512 from 1,352 in the same month a year ago.
Elon Musk’s closeness to US President Donald Trump and his far-right politics in Europe have resulted in a public outcry against him and his company, and - alongside competition and an ageing product lineup - have tanked Tesla’s sales globally.
Trump’s auto tariffs have also added to uncertainty in the sector, with US being the second-biggest importer of British-made cars after the European Union.
“As tariffs on cars being sold to the US are implemented... (it) is likely to have a material impact on UK car production, with the US a key market for UK automotive companies,” said Jamie Hamilton, automotive partner and head of electric vehicles at Deloitte.
UK registrations of battery electric vehicles rose 8.1% in April, taking a 20.4% market share, but still below the 28% target set by the government, the SMMT said.
The SMMT trimmed its 2025 market share forecast for BEVs to 23.5% from its January estimate of 23.7%.
One winner in April was China’s BYD, which saw a 654% year-on-year surge in UK registrations, taking new sales to 2,511 vehicles in April from 333 last year.
Overall volumes last month were also impacted by an increase in vehicle excise duty, which came into effect from April 1 and pushed purchases into March.
Ford Motor says it expects to take a $1.5 billion hit to its profit from tariffs and is withdrawing its full-year financial guidance due to the uncertainty created by the Trump’s evolving trade policy.
Ford said Monday that its net income fell by about two-thirds in the first quarter to $473 million, or 12 cents per share, from $1.33 billion, or 33 cents per share in the year-earlier quarter. Revenue dropped 5% to $40.66 billion.
The results topped the expectations of analysts surveyed by FactSet, who forecast earnings per share for the quarter would be flat. Revenue was forecast to be $38.02 billion. Still, the stock fell more than 2% in after-hours trading.
Last week, General Motors said it is bracing for a potential impact from auto tariffs as high as $5 billion in 2025. Ford and Tesla are expected to see a smaller impact from tariffs than GM and other automakers because they assemble more of their cars in the US.
Ford originally forecast 2025 earnings before interest and taxes in a range of $7 billion to $8.5 billion, but on Monday the company said the risks associated with tariffs “make updating full year guidance challenging right now given the potential range of outcomes.”
Agencies