The U.S. EV maker s revised Model Y is yet to show signs of reviving the brand s fortunes, Reuters reported.
Overall car sales in Europe rose 1.9%, with the strongest growth coming from plug-in hybrids and cars powered by alternative fuels, data from the European Automobile Manufacturers Association (ACEA) showed.
Tesla s European sales have now fallen for five straight months as customers switch to cheaper Chinese EVs and, in some cases, protest against Tesla CEO Elon Musk s politics.
Tesla s European market share dropped to just 1.2% in May from 1.8% a year ago.
The revised Model Y is meant to revamp the company s ageing model range as traditional automakers and Chinese rivals launch EVs at a rapid pace amid trade tensions.
Chinese manufacturers kept up their strong growth in Europe last month despite EU tariffs on Chinese EVs, selling 65,808 cars and doubling their market share to 5.9%, according to separate data released Tuesday by Jato Dynamics.
BYD registered nearly as many vehicles as Tesla in May, after outselling it in April.
BY THE NUMBERS
Model Y cars are pictured during the opening ceremony of the new Tesla Gigafactory for electric cars in Gruenheide, Germany, March 22, 2022. Patrick Pleul/Pool via REUTERS/File Photo Purchase Licensing Rights May new car sales in the European Union, Britain and the European Free Trade Association rose to 1.11 million vehicles, following a 0.3% dip in April, ACEA data showed.
Registrations at Chinese state-owned SAIC Motor and Germany s BMW rose 22.5% and 5.6% respectively, while they fell 23% at Japan s Mazda.
In the EU alone, total car sales have fallen 0.6% so far this year.
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That comes despite growing demand for EVs, with registrations of battery-electric (BEV), plug-in hybrid (PHEV) and hybrid-electric (HEV) cars rising 26.1%, 15% and 19.8% respectively.
EU sales of BEVs, HEVs and PHEVs combined accounted for 58.9% of passenger car registrations in May, up from 48.9% in May 2024.
Among the largest EU markets, new car sales in Spain and Germany rose 18.6% and 1.2% respectively, while in France and Italy they dropped by 12.3% and 0.1%.
In Britain, registrations were up 1.6%.
The stacked bar chart shows the share of new car registrations in the EU between January 2025 and May 2024.
The arrow plot shows the market share of major European car makers in the five months of 2024 and 2025 with companies with decreasing and increasing market shares in brown and green respectively.
