Tesla has seen a sharp fall in vehicle registrations across Europe, with Finland reporting a year-on-year drop of more than 70 percent in the first seven months of 2025.
Between January and July, 1,092 new Teslas were registered in Finland. A year earlier the figure stood at 1,864, according to official data. While the Finnish market saw a brief recovery in July, with 106 Teslas registered, up from 59 the year before, the overall trend remains strongly negative.
Elsewhere in Europe, the slump was more severe. In Sweden, Tesla registrations in July fell 86 percent to just 163 vehicles. In Denmark, sales declined 52 percent to 336 units. France registered a drop of 27 percent to 1,307 vehicles, according to figures cited by Reuters.
In contrast, competitor Polestar posted a surge in registrations in Finland. From January to July, 902 Polestars were registered, up from 318 in the same period in 2024, a rise of more than 180 percent.
Reuters attributed Tesla’s performance to a combination of regulatory and reputational factors. Tightened EU regulations around autonomous vehicles have hampered the rollout of key features, especially for the Model Y, which saw an 88 percent drop in Sweden and 49 percent in Denmark. Meanwhile, criticism surrounding Elon Musk’s political positions may have damaged the brand among some consumers.
Market conditions have also become more competitive, with European and Chinese electric vehicle manufacturers increasing their presence. Cheaper alternatives from China have gained traction, and Tesla’s response, a new lower-cost model, is delayed until late 2025.
In July, Elon Musk warned of challenging quarters ahead, citing the postponed launch of the affordable model and the withdrawal of federal tax incentives for electric vehicle buyers in the United States.
Across the broader car market, Tesla’s decline stands out. In Sweden, total new car registrations rose 6 percent in July. In Denmark, overall registrations increased by 20 percent. Tesla’s market share in both countries fell sharply.
In Finland, the July increase in Tesla registrations bucks the regional trend but remains modest in comparison to earlier years. Industry observers note that continued pressure from cheaper competitors and tighter regulation may further impact Tesla’s performance in Nordic and European markets.
HT
