Tesla's European sales continue to slump in January

Investing.com -- Tesla Inc. started 2026 with continued sales challenges in key European markets, as registrations fell sharply in January.

In France, Tesla sales dropped 42% last month to just 661 cars, marking the lowest level in more than three years, according to data released Sunday by the country's auto association PFA.

The electric vehicle maker faced an even steeper decline in Norway, where registrations plunged 88% in January. This drop is particularly notable as Norway had been one of the few bright spots for Tesla in Europe during 2025, when the company's registrations there climbed 41%.

The Norwegian market's overall decline follows a government policy change that tightened rules for value-added tax exemptions, which contributed to total industry sales falling 76% in January.

Tesla's struggles in Europe extend beyond these two markets. Across the continent in 2025, Tesla's sales decreased by 27%, contrasting sharply with the broader battery-electric vehicle market, which saw registrations increase by 30% according to the European Automobile Manufacturers' Association.

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