Tesla’s Worldwide Sales Drop: To What Extent Is It and Where Is It Happening?


**Tesla Sales Tumble Amid Elon Musk’s Political Scandals**

Tesla, the most prosperous and lucrative of Elon Musk’s enterprises, has traditionally been linked with electric vehicles. Nevertheless, the brand is now increasingly connected with former President Donald Trump and Musk’s affiliation with far-right politics—a relationship that seems to be adversely affecting sales.

Recent reports suggest that Tesla’s worldwide sales have taken a notable downturn as Musk fortifies his links to Trump and disregards federal employees under DOGE. According to EV news platform [Electrek](https://electrek.co/2025/03/05/tesla-tsla-sales-crash-continues-in-europe-with-germany-down-70/), Tesla’s sales in Europe have been the hardest hit, with deliveries plummeting by 50% last month compared to the same timeframe the previous year.

Specific events, such as Musk’s contentious “[Roman salute](https://mashable.com/article/musk-hitler-roman-salute)” sign on Inauguration Day, have further tarnished Tesla’s image and sales.

### Significant Drops in Major Markets

A recent report published Wednesday verifies that Tesla’s sales in Europe are still on the decline. In Germany, the company witnessed an astonishing 76% fall in sales. In February 2025, Tesla managed to deliver only 1,429 new vehicles in Germany, as opposed to over 6,000 in February 2024. This decrease is particularly alarming, given that Germany is Europe’s largest EV market. Musk’s public backing of Germany’s far-right AfD party during the country’s recent elections may have played a role in this downturn.

According to the European Automobile Manufacturers’ Association (ACEA), Tesla vehicle [registrations](https://www.npr.org/2025/02/27/nx-s1-5311609/tesla-sales-europe) across the EU—including the UK, Iceland, Norway, Switzerland, and Liechtenstein—declined by 45% from January 2024 to January 2025.

The drop is not confined to Europe. In Australia, Tesla sales [plummeted](https://www.proactiveinvestors.com.au/companies/news/1067387/tesla-sales-fall-more-than-70-in-australia-during-february-1067387.html) by nearly 72% in February, with only 1,592 vehicles sold compared to 5,665 the prior year.

### U.S. Sales Also Facing Challenges

Tesla’s difficulties extend into the U.S. market as well. Data from the California New Car Dealers Association indicates that Tesla registered fewer vehicles statewide in *every quarter* of 2024. California, the largest EV market in the U.S., experienced an 8% sales decline in the fourth quarter and a 12% drop for the entire year.

A recent [New York Times](https://www.nytimes.com/2025/03/03/business/tesla-boycott-elon-musk.html) article highlighted former Tesla owners who opted to sell their vehicles due to Musk’s political maneuvers and the rising stigma linked to associating with him.

### The Outlook for Tesla

As long as Musk maintains his connection with Trump, Tesla’s business is likely to persist on its downward path. The company’s primary customer demographic—environmentally aware and often liberal consumers—may hesitate to support a brand so tightly woven into far-right politics. Even if Musk chooses to distance himself from Trump later, the harm to Tesla’s reputation may already be beyond repair.