In April 2025, the Chinese electric car manufacturer BYD surpassed Tesla in sales figures in Europe for the first time. According to market researchers JATO Dynamics, BYD took the top spot with 7,231 newly registered all-electric vehicles, while Tesla recorded 7,165 units. This marks a significant turning point, as Tesla has dominated the European market for battery electric vehicles for years, whereas BYD only celebrated its sales launch outside of Norway and the Netherlands at the end of 2022.
Growth and Expansion of BYD
BYD is experiencing an impressive growth rate of 169 percent compared to the previous year, underscoring its strong expansion in Europe. Including plug-in hybrid vehicles, BYD’s market presence increased by 359 percent.
Challenges Facing Tesla
In contrast, Tesla is facing a decline in sales. Deliveries fell by about 11 percent in 2024, with a sharp decline of 37 percent in the first quarter of 2025, despite a growing overall market for electric cars in Europe. The declines were particularly severe in countries such as Sweden, the Netherlands, and France, while only Norway recorded a slight increase.
Experts attribute Tesla’s difficulties to the loss of its technological edge over modern competitors. At the same time, BYD is pursuing an aggressive expansion policy with a wide range of modern electric vehicles.
These developments indicate a transition in the European electric car market in favor of manufacturers like BYD. For investors and the European automotive industry, these changes could have far-reaching implications as they raise questions about competitive pressure, the speed of innovation, and market shares.