Global Setbacks for Tesla

Tesla, which boasted less than a year ago about its plans to sell 20 million electric vehicles annually by 2030, has recently experienced a significant decline in its performance. After abandoning this ambitious goal in mid-2024, the company faced its first annual sales drop in a decade. This decline has continued to worsen, with Tesla"s sales plummeting significantly in several key markets, including Germany, Australia, and China.

In Norway, for example, Tesla"s sales dropped by 44.4% during January and February of 2025, despite the overall electric vehicle market in the country growing by 53.4% during the same period. In Germany, the situation was even worse. According to data from the German Federal Motor Transport Authority (KBA), Tesla"s sales fell by 59.5% in January 2025, with only 1,277 vehicles sold. This decline continued in February, with sales dropping by 76.3% compared to February 2024, with only 1,429 units sold. Overall, Tesla"s sales in Germany during January and February fell by 70.6% compared to the same period last year, despite the overall electric vehicle market in the country growing by 30.8% in February.

In Australia, data released by the Electric Vehicle Council also showed a significant decline in Tesla"s sales. In February 2025, the company sold only 1,592 vehicles, a 71.9% drop compared to the 5,665 vehicles sold in February 2024. Over the first two months of the year, Tesla"s sales in Australia fell by 65.5% compared to the same period in the previous year.

In China, one of Tesla"s most important global markets, the outlook was equally grim. Preliminary data from the China Passenger Car Association revealed that Tesla produced and sold 30,688 vehicles in February 2025—a 49.16% drop compared to the 60,365 vehicles sold in February 2024. This figure includes both domestic sales and exports, but it is clear that Tesla"s market share in China is shrinking, especially with increasing competition from local electric vehicle manufacturers.

Overall, Tesla"s global growth trajectory has faced significant obstacles. Although the company remains a leader in the electric vehicle industry, its once-unquestionable dominance in key markets is showing signs of decline. Whether due to product fatigue, the controversial reputation of its CEO, market saturation, or simply poor timing—particularly with the ongoing transition surrounding its best-selling Model Y—Tesla"s shine is undoubtedly beginning to fade.