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preCharge News BUSINESS — Tesla’s new car sales plummeted in both Britain and Germany in July, according to industry data published Tuesday, extending a protracted European downturn for the U.S. electric automaker.

UK Market Sees Nearly 60% Drop

Data published by the U.K.’s Society of Motor Manufacturers and Traders (SMMT) showed Tesla’s new car sales dropped by nearly 60% to 987 units last month, down from 2,462 a year ago.

German Sales Also Plunge by Over 50%

In Germany, Tesla car sales fell to 1,110 units in July, down 55.1% from the same month in 2024. The number of Teslas sold in Europe’s largest economy over January–July, meanwhile, plunged by 57.8% to 10,000 units, data from road traffic agency KBA showed.

BYD Outperforms Tesla in Key European Markets

Explosive Growth for China’s EV Giant

In sharp contrast, China’s EV giant BYD posted astronomical growth in two of Europe’s largest car markets last month.

UK and Germany Show Major Gains for BYD

BYD sold 3,184 units in the U.K. in July, more than quadrupling its sales from a year ago. The company enjoyed similar success in Germany, notching a year-on-year sales uptick of nearly 390%.

Tesla Sales Collapse 55% in Europe as BYD Surges Ahead
Tesla Sales Collapse 55% in Europe as BYD Surges Ahead

Tesla’s Ongoing Struggles in Europe

Market Share Decline and Reputation Damage

The latest figures reaffirm a downward regional trend for sales from Elon Musk’s company, which continues to face stiff competition, particularly from Chinese EV manufacturers, and reputational damage from Musk’s incendiary rhetoric and relationship with the Trump administration.

European Market Share Continues to Shrink

Data published late last month by the European Automobile Manufacturers Association found that Tesla lost market share in Europe for the sixth straight month in June.

Musk Warns of Rough Quarters Ahead

Musk has warned that the company could face “a few rough quarters” as it faces higher tariff costs and the expiration of federal EV tax credits in the U.S.

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Associated Press, CNBC News, Fox News, and preCharge News contributed to this report.