Declining Sales Across Sweden and Denmark
Tesla’s sales continued to fall in Sweden and Denmark in June, marking the sixth straight month of decline in these markets. In Sweden, Tesla’s registrations dropped by 64.4% compared to the previous year. Similarly, in Denmark, sales fell by 61.6% during the same period, highlighting the challenges Tesla faces as competition grows and CEO Elon Musk’s popularity declines.
In Denmark, sales of the revised Model Y dropped by 31.2% year-on-year to 1,155 cars. This decline shows that Tesla is struggling to regain its footing despite introducing updated models.
Norway Offers a Brighter Picture for Tesla
In contrast, Tesla saw a 54% increase in car registrations in Norway in June. The Model Y, including both the new and old versions, recorded a 115.3% rise year-on-year, with 5,004 units registered. Tesla had started taking orders for the new Model Y months ago but began deliveries in many European markets only in June. Norway saw its first new Model Y deliveries in May, leading to a significant boost in sales.
Analysts Highlight Tesla’s Ongoing Challenges
Matthias Schmidt of Schmidt Automotive noted that Tesla has experienced six consecutive year-on-year losses in quarterly new registration volumes across Western Europe. He added that the second quarter of 2025 might continue this downward trend.
While the battery electric vehicle market in the region is growing, Tesla’s share appears to be shrinking. Schmidt remarked that updating a model is a common strategy to extend a product’s lifecycle, but it often results only in a temporary sales boost.
Andy Leyland from SC Insights mentioned that large percentage changes can sometimes hide small absolute numbers in sales. He noted that various factors, such as logistics and new product launches, can affect Tesla’s sales figures in these smaller markets.
Broader Context and Market Sentiment
The release of Tesla’s registration data came as Elon Musk renewed a dispute with US President Donald Trump over a major tax and spending bill. Schmidt commented that Musk’s decision to backpedal on Trump could be a strategic move to limit political fallout, but it might be too late to change market sentiment.
At 0900 GMT, Tesla’s Frankfurt-listed shares fell by 4.6%, reflecting investor concerns over the company’s declining sales in key European markets.
with inputs from Reuters
