So first BYD destroys Tesla and now Volkswagen too, who’s going to overtake Tesla next?
So a couple of years ago, we know that BYD dethroned Tesla as the global number 1 EV seller and importer and now it gets worse for Elon Musk’s EV brand as German automaker, Volkswagen, has also sold more EV units than Tesla in the European market early this year. So who will outdo the American EV brand next?
In true cinematic fashion, at the beginning of 2025, Tesla celebrated what it thought was a big win, surpassing Audi in global vehicle sales but just a quarter later, Tesla was in a very different position, facing massive boycotts due to Elon Musk’s behaviour. Political controversies, public protests and waning consumer patience have all contributed to a sharp shift in momentum.
Moreover, at the same time, Volkswagen, Audi’s parent company, has seized the opportunity to regain lost ground, overtaking Tesla to become the number one EV seller in Europe. According to new data from JATO Dynamics, Volkswagen registered an impressive 65,679 electric vehicles in Europe during the first three months of the year.
Tesla, once the dominant player in the European EV market, recorded 53,237 registrations over the same period. Despite ongoing issues like cash flow concerns and persistent software glitches in its electric vehicle lineup, Volkswagen managed to climb ahead, signaling a broader realignment in the competitive landscape of the European EV market.
Worse yet, Tesla led the electric revolution for years, setting benchmarks for innovation, range and even consumer appeal. However, now as the EV market matures, European automakers like Volkswagen are leveraging their deep manufacturing experience, extensive dealer networks and growing portfolio of electric models to challenge Tesla’s dominance.
On top of that, Tesla’s decline in Europe may also be linked to increasing scrutiny of Elon Musk’s leadership and controversial public statements, which have alienated some consumers and investors. Additionally, the company has struggled to refresh its product line as competitors rapidly roll out new electric models tailored to European tastes and regulations.
Volkswagen’s success underscores a key trend in 2025 and that is that public perception is becoming as important as technological innovation. With more choices than ever, European consumers appear less willing to wait for Tesla’s next big release and more inclined to buy from established brands offering solid EV options now.
So as Volkswagen also begins to push Tesla back, we now have to ask. Who will overtake Tesla next?
