Is Elon Musk Sinking Tesla in Europe ?

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Car manufacturer Tesla is going through a tumultuous period in Europe, with sales figures plummeting at breakneck speed. In the United Kingdom, the company recorded an 18% drop in sales for the year 2024. In Portugal, the situation of The company is in a catastrophic situation with a 31% drop in sales. In Spain, Tesla has taken the bull's horns: sales have collapsed by 75%!

Behind these alarming statistics, it is difficult not to ask a burning question: is Elon Musk in the process of sabotaging his own company on the Old Continent??

Boomerang effect

The billionaire has embarked on a political crusade never seen before in history. Between his frontal attacks on European leaders on X (formerly Twitter), his support for controversial parties and the positions taken during Donald Trump's campaign (with his Nazi salute as the highlight), Elon Musk is creating controversy. In Germany and the UK, public opinion is grumbling: a YouGov poll reveals that the majority of citizens believe he would be better off minding his own business rather than interfering in their national politics.

These remarks are a reaction to a recent media outing by the billionaire, now head of DOGE, a US government cell whose goal is to reduce public spending. Since taking office, he has promoted the “MEGA” (Make Europe Great Again) movement, modeled on Donald Trump's MAGA. Many saw this as yet another provocation, after his rapprochement with the German far right and his ties to the Italian government, which have finished tarnishing his image among a European population traditionally wary of populism.

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It's not my fault

It would be a mistake to reduce Tesla's fall in Europe to the personality of its CEO alone. First, because the results concern the year 2024, a period in which Elon Musk had not yet displayed his political positions so firmly. The manufacturer was already facing headwinds even before the latest controversies, but they were far from its recent positions. Furthermore, the previous year, its sales of electric vehicles had already fallen by 13% in the European Union.

Tesla's sales decline is mainly due to the particularity of the European market. New manufacturers, particularly Chinese brands, are arriving with innovative models and aggressive prices. European regulations, which are increasingly demanding, add a layer of complexity to the equation. Tesla thus finds itself caught between sharp competitors and a restrictive regulatory framework. And that's without mentioning the reductions in government aid in many countries, aid that previously encouraged the transition to electric models. More generally, the entire automobile industry is suffering from a decline in sales. While inflation has been easing in recent months, the economic crisis is still very much present.

The drop in Tesla sales in Europe is therefore the result of many factors, mainly linked to an unfavorable macroeconomic context. Elon Musk is therefore not solely responsible for these results, but it is certain that his recent media releases have little chance of helping the company get back on track.

• Tesla sales are plummeting dramatically in Europe, with declines of up to 75% in some countries.
• Elon Musk's controversial political positions and interference in European affairs have significantly damaged the brand's image.
• Tesla is also facing major structural challenges: increased competition, stricter regulations and market changes.

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