{"id":246671,"date":"2025-02-25T19:58:58","date_gmt":"2025-02-25T19:58:58","guid":{"rendered":"https:\/\/news.talkwithrattan.com\/index.php\/2025\/02\/25\/tesla-shares-slump-after-european-sales-fall\/"},"modified":"2025-02-25T19:58:58","modified_gmt":"2025-02-25T19:58:58","slug":"tesla-shares-slump-after-european-sales-fall","status":"publish","type":"post","link":"https:\/\/news.talkwithrattan.com\/index.php\/2025\/02\/25\/tesla-shares-slump-after-european-sales-fall\/","title":{"rendered":"Tesla shares slump after European sales fall"},"content":{"rendered":"
\"Tesla<\/div>


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Shares in electric car maker Tesla have slumped more than 9% after EU and UK sales fell by almost half in January.<\/p>\n

The drop in Tesla shares took the company’s valuation back below $1trn for the first time since November 2024.<\/p>\n

Tesla has been facing stiff competition in the European market from Chinese and other manufacturers.<\/p>\n

In addition, Tesla owner Elon Musk has been making controversial political waves on both sides of the Atlantic, an analyst said.<\/p>\n<\/div>\n

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Tesla sales in January bucked European electric car sale trends, which grew by more than a third in the month, according to trade body Acea<\/a>.<\/p>\n

Instead, Tesla sales across the EU, EFTA and the UK fell more that 45%, and more than 50% in the EU alone.<\/p>\n

It comes after Tesla sales fell last year for the first time in more than a decade as demand faltered and rivals gained pace<\/a>.<\/p>\n

The main factor in the January sales slump was likely to be increasing competition, AJ Bell investment director Russ Mould said.<\/p>\n

Chinese manufacturer BYD has been making big strides, in part because it includes as standard some features which cost extra from other makers, Mould said.<\/p>\n

However, some car buyers may also be taking a “principled stand” on Musk’s political interventions, he said.<\/p>\n

Musk has made waves in the US with his involvement in slashing US development funds and efforts to drastically reduce US federal funding.<\/p>\n

In the UK he supports jailed far-right activist Stephen Yaxley-Lennon, also known as Tommy Robinson, and repeatedly criticised prime minister Sir Keir Starmer.<\/p>\n

Musk also supports the far-right AfD party in Germany, and congratulated its leader after the party’s record second-place result in elections.<\/p>\n<\/div>\n

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There are other political factors which may be dampening Tesla’s prospects, Mould said.<\/p>\n

Tesla shares got a big boost after the US election due to Musk’s closeness to Donald Trump – Musk has described himself as “first buddy” to the US president.<\/p>\n

Investors thought this would stand his businesses in good stead.<\/p>\n

However, Trump is not a supporter of electric vehicles, and has said he will cancel efforts to boost their ownership.<\/p>\n

“How anybody thought this was going to be good for Tesla, I don’t know,” Mould said.<\/p>\n

There is also general market skittishness about the path of interest rate cuts and concerns about Trump tariff plans that could be contributing to the fall, Mould added.<\/p>\n<\/div>\n


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Shares in electric car maker Tesla have slumped more than 9% after EU and UK sales fell by almost half in January. The drop in Tesla shares took the company’s valuation back below $1trn for the first time since November 2024. Tesla has been facing stiff competition in the European market from Chinese and other […]<\/p>\n","protected":false},"author":2,"featured_media":246672,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"tdm_status":"","tdm_grid_status":"","fifu_image_url":"https:\/\/ichef.bbci.co.uk\/news\/1024\/branded_news\/df7e\/live\/de436290-f3ab-11ef-adb4-250c787bc8d9.jpg","fifu_image_alt":"","footnotes":""},"categories":[604],"tags":[10890,727,2022,1253,8188,3489],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts\/246671"}],"collection":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/comments?post=246671"}],"version-history":[{"count":1,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts\/246671\/revisions"}],"predecessor-version":[{"id":246673,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/posts\/246671\/revisions\/246673"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/media\/246672"}],"wp:attachment":[{"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/media?parent=246671"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/categories?post=246671"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/news.talkwithrattan.com\/index.php\/wp-json\/wp\/v2\/tags?post=246671"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}