Tesla’s car sales in Germany plummeted 59% in January, with only 1,277 new vehicles registered, amid controversy surrounding CEO Elon Musk’s comments on Nazi-era guilt and his support for a nationalist party. The decline is also seen in other European markets, including France, Britain, Sweden, and Norway.
Musk’s remarks at a convention of the Alternative for Germany party, which marked the 80th anniversary of the Auschwitz concentration camp, have been widely interpreted as insensitive and inflammatory. However, other factors may be contributing to the decline, such as consumers waiting for the updated Model Y, expected to be released by the end of March.
The US also saw a decline in Tesla sales, with a 11.6% drop in California, despite overall electric car sales rising 1.2%. This trend suggests that Musk’s comments may not have been limited to Germany alone. As Tesla struggles to regain market share across Europe and the US, investors and analysts will be watching closely for any signs of improvement.
Tesla’s European sales have been declining steadily since Mr. Musk began his initiative to slash the US budget through an “efficiency” department. The electric vehicle company faces stiff competition from domestic and Chinese automakers, leading to a 54% increase in demand for alternative electric cars in January.
Source: https://www.nytimes.com/2025/02/05/business/tesla-germany-elon-musk.html