Tesla Sales Down 49% in April, BYD Up 169%
"A Watershed Moment for the European Automotive Market"
A seismic shift has occurred in the European electric vehicle market. Tesla, which had long held the lead, saw its sales plummet, while Chinese automaker BYD experienced rapid growth and overtook Tesla. Having already lost its global sales lead to BYD, Tesla has now also fallen behind in Europe, a key electric vehicle market.
On May 22 (local time), the Wall Street Journal (WSJ), citing consumer research firm JATO Dynamics, reported that 7,165 Tesla battery electric vehicles were registered in Europe last month. This represents a 49% decrease compared to the same month last year. In contrast, BYD registrations increased by 169% year-on-year, reaching 7,231 units?a difference of about 66 vehicles.
Felipe Munoz, an analyst at JATO Dynamics, commented, "The monthly sales gap between the two brands may be small, but its significance is enormous," adding, "This is a watershed moment for the European automotive market." He further explained, "Tesla has led the European battery electric vehicle market for years, but considering that BYD only officially began its European operations beyond Norway and the Netherlands at the end of 2022, this is even more remarkable."
Europe is the second-largest electric vehicle market after China. In terms of global sales, BYD has already surpassed Tesla. According to first-quarter battery electric vehicle and plug-in hybrid sales data from market research firm SNE Research, BYD sold 875,000 units in the first quarter of this year, a 50.9% increase from the same period last year, while Tesla's sales fell by 13% to 337,000 units. While BYD benefits from home-ground advantage in China, its lead over Tesla in Europe?despite tariff penalties?highlights the significance of this shift.
Tesla has been struggling in the European market for several months. This is partly due to CEO Elon Musk's political actions, such as supporting Germany's far-right party and taking a government position under the Trump administration, which have alienated European consumers. Additionally, fierce competition has intensified as companies like Renault and Stellantis aggressively launch new electric vehicle models to comply with EU emissions regulations.
Last month, Tesla announced that its net profit for the first quarter of this year had dropped by 71%. At the time, CEO Musk explained that he would reduce his involvement in government affairs and focus more on managing Tesla.
Considering that total electric vehicle registrations in the European market reached 184,312 units in April 2025, a 28% increase from the same period last year, BYD's growth is even more striking. According to JATO Dynamics, BYD's total registrations in April, including plug-in hybrid vehicles, surged by 359% year-on-year. Chinese brand electric vehicle registrations in April reached 53,283 units, marking a 121% increase from the previous year.
JATO Dynamics identified BYD's broad and competitive lineup of electric and plug-in hybrid vehicles as the main driver of its growth. BYD is rapidly expanding its presence in Europe, outpacing established brands, and in France, it is achieving higher sales than European brands such as Fiat and SEAT.
The New York Times (NYT) noted that, even though the EU imposed tariffs on Chinese electric vehicles last year to protect EU companies, European car buyers still seem willing to accept Chinese brand electric vehicles, which are more affordable than EU-made products.
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