As competition intensifies and a slowdown in European economies affects total car sales, Tesla’s battery-electric (BEV) brand has experienced a 42.6% drop in car sales in Europe this year, according to data from the European Automobile Manufacturers Association (ACEA). Tesla held 1.8% of the total market and 10.3% of the BEV market in February, compared to 2.8% and 21.6% last year. Sales figures indicate fewer than 17,000 cars were sold in the European Union, Britain, and European Free Trade Association countries, down from over 28,000 in the same period last year. Tesla faces challenges ahead of the launch of its new Model Y mid-size SUV, with a smaller, aging lineup as traditional automakers and Chinese competitors introduce newer, often cheaper electric models. CEO Elon Musk’s controversial political stances in Europe have also impacted sales. Despite a 26.1% increase in BEV sales last month compared to February 2024, total car sales fell by 3.1%. Analysts expect global auto volume to remain flat this year. Tesla recently formed a pool to sell carbon credits to automakers aiming to meet European CO2 emission targets. Electrified vehicles accounted for 58.4% of all passenger car registrations in February, up from 48.2% a year earlier. — news from Reuters