Tesla registered 2,229 units in Germany during March, data from the Federal Motor Transport Authority (KBA) showed on Thursday — representing a 42.5% decline year-over-year.
Tesla’s sales have been plummeting this year with March following the tendency as the company transitions to the new version of the world’s best-selling car Model Y.
The U.S. carmaker’s sales continue to fall year over year in the German market, where Tesla has one of its Gigafactories located just outside Berlin. First quarter registrations have dropped to 4,935 units, down 62.2% from the same period last year.
Tesla sales fell 41% in Germany last year, to less than 38,000 vehicles. One of the main reasons was the incentive cut by the German Government in late 2023 which allowed EV buyers to get up to €4,500.
The refreshed Model Y, announced in early January, is selling in Germany with prices starting at €45,970 ($50,700).
As the second quarter begins, Tesla is currently offering one year of free fast charging in Model Y purchases until the end of June.
Tesla Sales in Europe
In France, there were 3,157 Tesla units registered last month, a 36.85% drop year over year from 4,998. In March, the Netherlands registered 1,536 Tesla vehicles, a 50% drop year over year.
In March, Tesla sales dropped sharply in Scandinavia: Denmark registered 593 vehicles (-65.6%), Sweden 911 (-63.9%), and Norway, the country with the highest EV adoption in Europe, 2,211 (-1%). Meanwhile, sales rose in Southern Europe, with Italy at 2,217 (+51.3%), Spain at 1,983 (+34.3%), and Portugal at 1,208 (+2.1%).
Competition in Germany
Chinese competition is increasing in Germany, with BYD and Polestar seeing significant year-over-year growth. BYD sold 805 units in March (+403.1% year over year), totaling 1,225 in the first quarter (+211.7%). Polestar recorded 357 units, a total of 855 in the quarter (35.5% growth).
Tesla’s Chinese rival XPeng listed 176 units in March and a total of 432 vehicles in the last three months. Premium EV maker Nio dropped to 21 units (a 56.5% drop from the previous March), selling 64 vehicles in the whole quarter (-37.3%).
Q1 + Annual Target
Tesla announced on Wednesday morning that it delivered 336,700 vehicles in the first quarter, a 12.9% decline year over year and the lowest reported deliveries in a quarter in three years.
In late October, during a shareholders’ meeting, Elon Musk had stated that “to take a bit of risk here I do want to give a rough estimate which is that I think 20 to 30 percent vehicle growth next year”.
Tesla delivered 1.7 million units in 2024, which would imply 2025’s figures to be between 2.1 to 2.3 million. The brand needs to sell above 1.8 million vehicles to reach the target.
Production in the first quarter fell 16% year over year in the first quarter, as the company announced the refreshed Model Y. The figures announced come as the company faces attacks and vandalism acts that arise from political tensions with Elon Musk and his government role.
In China, Tesla sales declined 11% in March, but the new Model Y ended the month as the top selling EV in the country.
Tesla shares closed at $282.76 on Wednesday and are — as of the time of writing — trading at $268 following the U.S. tariffs confirmed by Donald Trump on Wednesday afternoon.
