Tesla faces significant difficulties in the French market in January 2025

Tesla faced significant difficulties in the French market in January 2025, when its car registrations fell by 63%, the biggest drop since August 2022. According to French industry association La Plateforme Automobile, only 1,141 Tesla cars were registered in January, a significant drop compared to previous years and general trends in the electric car market.

The drop puts Tesla in a difficult position in the European market, where the company has long been a leader among electric car manufacturers. At the same time, against the general background of the electric car market in France, demand for them fell by only 0.5%, which suggests that Tesla's decline in popularity is exclusively its problem.

Despite the decline in the electric car segment, overall car sales in France fell by 6.2%. This suggests that demand for new cars has generally declined, but in Tesla’s case, the decline is much more pronounced. Such data cast doubt on the company’s competitiveness in the highly competitive European market.

Tesla’s difficulties could be due to a number of factors, including changing market conditions, increasing competition from European electric car manufacturers, and a possible demand correction due to high car prices and changes in government subsidies for electric vehicles.

Tesla’s decline in France could also be a reflection of the company’s broader crisis in the European market. In the EU, the company has faced great difficulties as more and more consumers turn to other manufacturers such as Volkswagen, BMW and Renault, which are also actively developing their electric car lines.

In these difficult times, Tesla needs to quickly review its strategy in the European market, in particular regarding pricing and marketing campaigns. Success in this market requires adaptation to new realities and consumer needs, which can be crucial for the company's further development in the region.