Tesla’s new car sales in the UK fell by more than 45% year-on-year in May, according to preliminary data from research group New AutoMotive.

The company sold 1,758 units during the month, down from 3,244 units in May 2024.

Despite this decline, Tesla remains the best-selling battery electric vehicle (BEV) brand in Britain for the year to date.

New AutoMotive also reported that overall new car registrations in the UK rose by 4.3% in May, reaching 144,098 units.

BEV sales increased by 28% compared to the same month last year.

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🔗 Source: Reuters

🧠 Food for thought

1️⃣ China’s EV makers are gaining significant ground in Europe’s shifting market

BYD’s doubling of UK sales to 1,388 units in May comes amid a broader European breakthrough for the Chinese manufacturer.

In April 2025, BYD outsold Tesla in Europe for the first time with 7,231 vehicles registered compared to Tesla’s 7,165 units 1.

This shift represents a dramatic 169% year-on-year increase for BYD while Tesla experienced a 49% decline during the same period 2.

The competitive landscape is transforming rapidly, with Tesla falling to 11th place in European EV rankings as BYD entered the top 10 for the first time 2.

European brands are also strengthening their positions, with Volkswagen leading the continental EV market with over 23,500 registrations and the Skoda Elroq emerging as Europe’s best-selling electric model 3.

2️⃣ UK’s electric vehicle market shows robust growth despite Tesla’s challenges

While Tesla’s sales dropped 45%, the overall UK battery electric vehicle market grew by 28% year-on-year, indicating broader EV adoption is continuing regardless of Tesla’s performance 4.

This growth pattern extends to the used EV market, with secondhand battery electric vehicles reaching a record 6.34% of all retail used car sales in May 2025 5.

The UK’s EV market maturation is being driven by increased vehicle supply from expired lease agreements and growing consumer confidence in battery longevity 5.

Government initiatives and expanding urban clean air zones are further encouraging more drivers to consider electric vehicles as practical alternatives to combustion engines 5.

Despite Tesla’s significant UK sales drop, the company has maintained its position as Britain’s best-selling electric vehicle brand year-to-date, highlighting its established market presence despite recent challenges 4.

3️⃣ CEO activism appears to be affecting Tesla’s European sales performance

Tesla’s 45% UK sales decline is part of a broader European sales slump, with similar patterns observed in Germany where sales fell by 59.5% in January 2025 and a steeper 76.3% in February 6.

Reports indicate protests and even vandalism against Tesla vehicles, which may be linked to Elon Musk’s political activities 7.

The brand impact extends to consumer sentiment, with surveys showing former Tesla owners expressing “buyer’s remorse” connected specifically to Musk’s political statements and affiliations 8.

These declines are occurring despite Tesla’s historically strong position in the UK market, where the Model 3 was once the country’s third best-selling car overall in August 2019 9.

Tesla’s UK and Germany sales reached a two-year low in April 2025, indicating this is not merely a temporary fluctuation but a persistent trend affecting multiple key European markets 10.

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