Tesla's European Turnaround: Mixed Signals in Key Markets

Tesla witnessed a mix of recovery and decline in European markets for January, with notable growth in Spain and Italy. Despite new, budget-friendly models, the brand struggles against competition and political backlash, affecting its market share and sales in key regions like Norway and France.


Devdiscourse News Desk | Updated: 02-02-2026 23:21 IST | Created: 02-02-2026 23:21 IST
Tesla's European Turnaround: Mixed Signals in Key Markets
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Tesla's registrations in crucial European markets indicated a mixed trajectory in January. While the company experienced growth in Spain, Sweden, Denmark, and Italy, there was a significant decline in France, Norway, Portugal, Belgium, and the Netherlands.

In Spain and Italy, registrations surged by 70% and 75% respectively, signaling potential recovery in these vital markets. However, the figures dropped drastically in Norway by 88% and in the Netherlands by 67%.

Tesla unveiled more affordable versions of its Model Y and Model 3 to stay competitive. Nevertheless, CEO Elon Musk's political affiliations and increasing competition, particularly from Chinese brands like BYD, continue to challenge Tesla's European market position.

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