Tesla faced stark contrasts in European markets at the close of 2025, with registrations plummeting sharply in France and Sweden while surging to a record high in Norway during December. According to official data released on January 2, 2026, Tesla registrations fell 66% year-on-year in France to 1,942 vehicles and 71% in Sweden to 821 vehicles. This contributed to full-year declines of 37% in France and 70% in Sweden. In contrast, Norway saw an 89% jump to 5,679 vehicles, helping Tesla achieve a new annual sales record with over 19% market share in the EV-dominant country. Broader European trends showed Tesla’s market share dropping to 1.7% (up to November) from 2.4% in 2024, even as overall battery-electric vehicle sales rose to 18.8% of the market.
Declines Amid Rising Competition The sharp drops in France and Sweden reflect ongoing challenges for Tesla, including intensified competition from Chinese EV makers, an aging product lineup, and consumer backlash linked to CEO Elon Musk’s political statements. Despite the introduction of more affordable Model Y and Model 3 variants, demand has not rebounded significantly in these key markets.
Norway’s EV Leadership Boosts Tesla Norway, where nearly 96% of new car sales were electric in 2025, continues to favor Tesla strongly, underscoring the benefits of supportive policies and infrastructure in the world’s most advanced EV market.