Tesla's European Sales Fall Nearly 50% In October As BYD Soars Over 200% — EVs Make Up Over 16% Of EU Market
News Summary
Tesla's registrations in Europe declined by 48.5% year-on-year to 6,964 units in October 2025, according to data from the European Automobile Manufacturers Association (ACEA). Year-to-date, Tesla's sales in the region also fell by 29.6% to 180,688 units, with significant declines observed in several key European markets and China. Conversely, rival BYD experienced a robust surge in the European market, with October sales jumping 206.8% year-on-year to 17,470 units. BYD's year-to-date sales soared by 285% to 138,390 registrations, and the company plans to introduce its Japanese 'Kei' car to the European market. Despite Tesla's struggles, the overall European EV market grew, with year-to-date sales increasing by 26.2% to 2,022,173 units. Battery-electric vehicles (BEVs) now account for 16.4% of the EU market share year-to-date. Tesla is also progressing with its Full Self-Driving (FSD) technology expansion in Europe, targeting a February 2026 launch.
Background
The European electric vehicle market is experiencing rapid growth but is becoming increasingly competitive, with both traditional automakers and emerging Chinese brands actively expanding. Tesla, previously a leader in the European EV market, has faced strong challenges from local European brands like Volkswagen and Stellantis, as well as Chinese brands such as BYD. BYD, a global leader in EV manufacturing, has rapidly expanded worldwide due to its vertically integrated supply chain and diverse product portfolio, employing aggressive penetration strategies, particularly in Europe. Meanwhile, Full Self-Driving (FSD) technology is crucial for Tesla to enhance vehicle value and competitive differentiation, with its European rollout navigating complex regulatory environments and consumer acceptance.
In-Depth AI Insights
What are the deeper strategic implications of Tesla's significant sales decline in Europe amidst BYD's strong growth, beyond mere market share shifts? - This suggests that European consumer preferences for EVs may be shifting from early