Decline in Tesla Sales in Denmark Exceeds 50 Percent
Falling Tesla Sales in Denmark: A 56% Plunge
Danish drivers are steering clear of Tesla's showrooms, with the number of new Tesla registrations dropping a whopping 56% in the first quarter of 2025. Only 1,549 of the iconic electric vehicles found homes in the country, compared to 3,556 in the same period last year.
According to the auto sector organization Mobility Denmark, Tesla sales are taking a nosedive in Denmark. Tesla now ranks as the tenth-highest selling car manufacturer in the country.
So, what's causing this slump in demand for Tesla? Economist Ilyas Dogru from the drivers' association FDM has some ideas.
First and foremost, Dogru points to Tesla's aging lineup. The popular Model Y, for instance, is due for an update this week, which could lure customers back to the brand.
But Dogru isn't stopping there. He believes Tesla is no longer the king of the EV hill, citing fierce competition from rival brands who have upped their game with new models, discounts, and better warranties.
"So, Tesla doesn't have the market to itself anymore," Dogru opines.
Furthermore, Dogru reckons the "Elon Musk effect" could be playing a role in Tesla's struggles in Denmark. Musk, who heads Tesla, is a staunch supporter of right-wing US President Donald Trump and has expressed affection for Trump's Greenland annexation plan. This political alignment may have some Danish consumers shunning Tesla in favor of other brands.
Denmark isn't the only European country where Tesla is feeling the heat. Sales in France, Sweden, and the Netherlands dropped by 41.1%, 55.3%, and 49.7%, respectively, in Q1 2025. However, the impact has been milder in Norway, with a 12.5% decrease in sales during the same period.
Emotional consumers with an aversion to Tesla have been reaching out to the FDM for advice on EV purchases. But Dogru warns it's impossible to quantify the exact impact of political sentiment on Tesla sales.
Political consumers with a distaste for Elon Musk and his ties to Donald Trump may be opting for other EV brands. But, as Dogru notes, the next updated Model Y could put an end to Tesla's sales woes.
Struggles Across Europe
As Europe continues to transition to electric vehicles, it's clear that fierce competition is heating up. With brands like BMW and BYD seeing impressive growth, Tesla's reign as the dominant player in the EV space may be coming to an end.
Meanwhile, temporary disruptions at the Berlin Gigafactory and changes in government incentives could be contributing factors to Tesla's slump in Denmark and other European markets.
And, as the market for electric vehicles continues to mature, consumer preferences might shift towards newer models, alternative brands, or cheaper alternatives with enticing incentives.
With increased competition, aging models, and a mixed global economic outlook, Tesla's future in Europe remains uncertain. But, with the imminent update to the Model Y, the company is hoping for a boost in sales across the continent.
Read AlsoAre Danes Boycotting American Products?Sources
[1] Ritzau. (2025). Tesla sales in Denmark fall by over 56 percent in first quarter. Link[2] Reuters. (2025). Tesla's European sales plunge in Q1 ahead of Model Y update. Link[3] Electrek. (2025). Tesla's Berlin Gigafactory halts production for Model Y redesign. Link[4] Wall Street Journal. (2025). BMW electric car sales surging in Europe. Link[5] CleanTechnica. (2025). BYD electric vehicle sales set new records in Europe. Link
- In the auto industry, Tesla unfortunately faced a 56% decline in sales in Denmark during the first quarter of 2025, with only 1,549 new units registered contrasted to 3,556 in the same period the previous year.
- Despite being renowned as a major player in the electric vehicle market, Tesla now ranks as the tenth-highest selling car manufacturer in Denmark, with competition from various brands offering new models, discounts, and better warranties potentially eroding Tesla's market share.
- Economist Ilyas Dogru, from the drivers' association FDM, attributes some responsibility for Tesla's struggles in Denmark to their aging lineup, with the popular Model Y due for an update to stimulate customer interest.
- The "Elon Musk effect" could also be a factor in Tesla's recent dip in demand, as Musk's support for US President Donald Trump and his Greenland annexation plan may have negative implications for Tesla in Denmark and could influence some consumers to choose alternative EV brands.
- European countries such as France, Sweden, and the Netherlands have also experienced significant declines in Tesla sales, but Norway has been relatively more resilient, with a decrease of only 12.5% during the same period.
