Tesla Sales Drop Across Europe Despite Model Y Discounts, Only Norway Shows Growth

In many countries in Europe—like France, Belgium, Spain, and Sweden—Tesla is not selling as many cars as before. The number of cars sold has dropped a lot.

Even though Tesla has a new version of its popular car, the Model Y, people still aren’t buying it as much. Tesla even gave big discounts and offered deals like zero-interest loans, but that didn’t help enough.

Only in two places—Norway and Austria—did Tesla sell more cars in May this year compared to last year. But there’s a twist to that.

What About Norway?

Tesla said their sales in Norway went up a lot in May 2025. It sounds like good news at first. But if we look deeper, we see that sales in May 2024 were really low, so it was easy to beat that number.

So, it’s not that May 2025 was super amazing—it just looks better when compared to a very bad month last year. It’s like getting a better grade in school after doing very poorly on your last test. It’s better, but still not great.

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Why Are People Buying Less?

There are a few possible reasons:

  • Other companies now make good electric cars too. So, people have more choices.
  • The excitement around Tesla might be slowing down.
  • Money is tight for many people, and cars are expensive—even with discounts.
  • Tesla recently made changes to its Model Y, and during that time, people may have waited before buying.

What Does It Mean?

It means Tesla is having a hard time in Europe. Even with offers and new cars, people are not buying as many Teslas as before. Tesla said earlier that sales were down because they were switching to the new Model Y. But now that the new one is here, sales still aren’t growing in most places.

If this keeps happening, Tesla might need to do more than just give discounts. They may have to change how they sell, make their cars even better, or find new ways to interest buyers.

Author
Rachel Lacey
Rachel Lacey is an experienced writer specializing in personal finance. Now she write Automobile content. With 17 years at Moneywise, she now creates engaging, SEO-optimized content for leading publications like The Daily Telegraph, Times Money Mentor, NerdWallet UK, and more. A University of Sheffield graduate, Rachel excels at simplifying complex financial topics to empower readers. She also writes for reputable financial platforms, including Flow Cars Insurance, offering expert insights into car insurance and personal finance topics.
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