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Tesla's sales in Europe fell 40% from a year ago even though overall EV sales rose, according to the European Automobile Manufacturers’ Association. Yahoo Finance Autos Reporter Pras Subramanian explains why in the video above.
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Tesla hitting a speed bump in its third biggest region, the EV maker seeing sales in Europe falling in February. Now finance's price Subramanian joins us now with the very latest price.
Hey Josh, yes. So the European Car Association talking about how a little bit more confirmation here of trouble in Europe for Tesla, like you mentioned February, uh sales down there. Uh and also for the first two months of the year, almost over 40 43% uh for January and February. Meanwhile, overall EV sales were actually up 26%, 31% in the first two months here. So it's kind of a a mixed bag here. We got Tesla going down, overall EV sales up. So what's going on here? More competition from, you know, better products from BMW, VW. We mentioned some of the Chinese automakers too. Uh Tesla has that Model Y change over where they're they're they're they're revamping their their best Model Y switch over has an impact.
Yeah, exactly. People may may not be buying the old one, waiting for the new one. And then finally, of course, the must effect which we've talked about a lot, his embrace of right-wing political movements. Do you think that branding having impact over there too?
Uh yeah, I think so. I think I think we've seen a lot of polls, Germany and places like that, seeing that his popularity has come down. People don't want to buy Teslas anymore. Tom O'Brien was on earlier today, he's a big Tesla bull. He seems to think that the new Model Y plus a potential that that long awaited the cheaper EV, once that comes out, will sort of stem the tide here with sales with sales increasing in the future.
Interesting. And we talk about Germany in particular because Musk has supported the right-wing party there, AFD. So maybe even there versus other countries in Europe, there's an especially acute effect.
Yeah, for definitely. I think there's a poll that's 70% of Germans don't want to buy a Tesla, something like that. Uh but even in the UK too, he embraced the right-wing movement there. And the sales effect is a bit lower, not as bad as Germany and other parts of Europe, but it's still nonetheless uh uh uh over 10%, right? So there's concern there, but I think I think March will be the big the big key. That that's when the Model Y, the new Model will be fully on sale. We'll see if those sales rebound just a little bit. Uh could it be that effect or could is it also bigger than than just the new Model Y?
Right. All right. Thank you, Pras. Appreciate it.