Tesla started 2026 confronted by pronounced sales weakness in important European markets, with registrations plunging in January according to national and industry data.
In France, Tesla recorded just 661 new registrations last month, a decline of 42% compared with the prior reference period. That level is the lowest the company has posted in the market in more than three years, based on figures released by the country's auto association PFA.
The situation was even more acute in Norway, where Tesla registrations tumbled by 88% in January. Norway had been one of the more favourable markets for the automaker during 2025, when Tesla's registrations there rose by 41%, but that momentum did not carry into the new year.
Part of the wider deterioration in Norway's registrations is linked to a government policy change. Tighter rules for value-added tax exemptions were implemented, a development that coincided with a 76% drop in total industry sales in the Norwegian market in January, according to the data reported.
These country-specific declines occur against a broader backdrop for Tesla in Europe. Over the course of 2025, Tesla's sales across the continent fell by 27%. That contraction contrasts with the overall battery-electric vehicle market in Europe, which experienced a 30% increase in registrations during the same period, as reported by the European Automobile Manufacturers' Association.
The figures underscore a divergence between Tesla's recent registration trend and the wider BEV market's growth across Europe. Available data points link the Norway downturn in part to VAT exemption rule changes, while France's January result represents a multi-year low for Tesla in that market.
Analyst note: The information presented is based on registration data and industry reporting for January and full-year 2025 as cited above. Where causes are identified in the source data, such as the VAT exemption adjustment in Norway, they are reported as contributing factors rather than sole explanations.