Elon Musk’s Tesla experienced a significant crash in UK sales last month, with registrations of its electric vehicles plunging by 60% amid a broader European slowdown in demand.
According to data from the Society of Motor Manufacturers and Traders (SMMT), only 987 Teslas were registered in the UK in July, a steep decline from 2,462 during the same month in 2024.
The fall shows a sharp turnaround from June, when Tesla posted a 14% increase in year-on-year sales, according to the FT.
This downward trend isn’t just in the UK.
In July, Tesla’s registrations dropped 86% in Sweden (down to 163 cars), 27% in France (to 1,307), and 58% in Belgium (to 460 vehicles), based on figures from European automotive industry bodies.
Analysts point to intensifying competition and growing consumer unease toward Elon Musk’s controversial political engagement as contributing factors in Tesla’s weakening position in key European markets, the newspaper reports.
The slump came despite the launch of an upgraded version of Tesla’s popular Model Y SUV, which had been expected to reinvigorate interest.
Adding to the controversy, Tesla revealed in a Monday filing that its board had approved a new compensation package for Elon Musk. The automaker said the grant of 96 million shares is intended to “energise and focus” Musk as he tries to reinvigorate the company’s performance.
This comes against the backdrop of a protracted legal dispute in Delaware over Musk’s earlier $56 billion pay award, the largest ever in the US, which was invalidated in January 2024 by a judge, who ruled it was “excessive.”
Since then, Musk has repeatedly threatened to leave Tesla unless he’s granted greater control. He also leads several other ventures, including SpaceX, Neuralink, the Boring Company, and xAI.
After all, it turns out apparent Nazi salutes and supporting Donald Trump, then falling out, aren’t appealing to the British consumer. Shock.