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Tesla recorded lower sales in the United States during the first half of 2026. European deliveries rose sharply after price cuts and higher fuel prices linked to the Iran war.
ndtv.comTesla sales in the United States declined in the first half of 2026. The drop followed the end of EV tax credits and weakened anti-emission regulations. European sales moved in the opposite direction.
Tesla reported a 25% increase in European sales during the second quarter of 2026. Germany recorded a 300% rise in Tesla sales in May. Europe-and-UK-wide sales rose 57% year-on-year in the first five months of 2026.
Higher oil prices linked to the Iran war pushed more buyers toward electric vehicles across the continent. Tesla’s European sales recovery occurred after price cuts and amid rising fuel prices. The growing European demand offset the firm’s weak performance in the US.
Musk’s ties to the Trump administration, which remain unpopular in Europe, had previously weighed on sales. An effigy of Musk was hung upside down in Milan. " — Tom Chivers BYD overtook Tesla as the world’s largest EV manufacturer in 2025.
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