TLDR Tesla (TSLA) European sales declined 27% to 238,656 units in 2025 BYD registrations surged 268.6% to 187,657 units in the same period December saw Tesla registrationsTLDR Tesla (TSLA) European sales declined 27% to 238,656 units in 2025 BYD registrations surged 268.6% to 187,657 units in the same period December saw Tesla registrations

Tesla (TSLA) Stock: BYD Triples European Sales While Musk’s Company Stumbles

2026/01/27 21:55
3 min read

TLDR

  • Tesla (TSLA) European sales declined 27% to 238,656 units in 2025
  • BYD registrations surged 268.6% to 187,657 units in the same period
  • December saw Tesla registrations fall 20% while BYD more than tripled
  • Tesla ended one-time Full Self-Driving purchases, moving to $99 monthly subscription
  • Battery-electric vehicles captured 17.4% of EU market share, up from 13.6%

Tesla’s European performance took a hit in 2025 as Chinese competitor BYD made serious inroads. The data shows a dramatic shift in the continental EV landscape.


TSLA Stock Card
Tesla, Inc., TSLA

New-car registrations for Tesla across the European Union, U.K., Iceland, Liechtenstein, Norway, and Switzerland fell 27% to 238,656 units for the full year. December registrations dropped 20% year-over-year to 35,280 units.

BYD painted a different picture. The Chinese automaker more than tripled December registrations to 27,678 units. Annual registrations jumped 268.6% to 187,657 units, according to the European Automobile Manufacturers’ Association.

While Tesla maintained higher total sales, the gap narrowed fast. BYD’s market share rose to 1.4% from 0.4% in 2024.

Competition Heats Up

BYD’s affordable electric and hybrid vehicle lineup has intensified competition. European giants like Volkswagen and international players like Tesla face mounting pressure from the Chinese manufacturer.

Tesla dealt with challenges beyond standard competition. Elon Musk’s involvement with the Trump administration, which concluded months ago, affected buyer sentiment in European markets.

Tesla’s global performance reflected similar struggles. Worldwide sales fell 9% in 2025. Fourth quarter deliveries dropped 16% compared to the previous year. BYD overtook Tesla as the world’s top EV maker.

Product Strategy Shift

Tesla announced a change to its Full Self-Driving system. After February 14, the company will eliminate the $8,000 one-time purchase option. Customers must subscribe at $99 monthly instead.

The subscription push aims to boost recurring revenue streams. The timing coincides with increased competitive pressure from Chinese and European manufacturers.

The broader European EV market showed healthy growth in December. Battery-electric vehicle sales jumped 51% year-over-year. Plug-in-hybrid registrations increased 36.7%, while hybrid-electric models grew 5.8%.

Battery-electric cars accounted for 17.4% of EU market share in 2025, climbing from 13.6% in 2024. Hybrid-electric vehicles dominated consumer preferences with 34.5% market share.

Traditional fuel vehicles lost ground. Petrol and diesel cars combined for 35.5% market share, down from 45.2% in 2024. The trend demonstrates accelerating consumer adoption of electrified powertrains.

Total EU passenger-car registrations increased 5.8% in December to 963,319 vehicles. Germany posted 9.7% growth while Italy gained 2.3%. France declined 5.8%.

BYD’s December registrations in Europe reached 27,678 units, with full-year totals hitting 187,657 units.

The post Tesla (TSLA) Stock: BYD Triples European Sales While Musk’s Company Stumbles appeared first on Blockonomi.

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