EV News Daily - Technology and Business of EVs DAILY: Tesla’s European Decline, U.S. Rolls Back Economy Targets and Germany Nears 2 Million EVs
Dec 5, 2025
Tesla is feeling the heat as its European market share declines amid rising competition from BYD and slowing sales in France and Spain. Meanwhile, the U.S. faces a rollback of fuel economy targets that could hinder EV adoption. Germany inches closer to a major milestone with nearly two million electric vehicles registered. Kia shakes things up with significant price cuts and financing options for its EVs. Additionally, Volkswagen reorganizes its production strategy to boost EV output, while California ends solo EV carpool access.
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Tesla Losing European Momentum
- Tesla's European market share is slipping as competitors, especially Chinese brands, gain ground.
- Market moves vary by country, with France, Spain and several Nordics showing big Tesla declines despite local pockets of strength.
Use Pricing And Finance To Rekindle Demand
- Tesla is rolling out cheaper Model Y variants and attractive finance deals to regain buyers.
- Consider price cuts and lower insurance brackets to improve competitiveness in subsidy-sensitive markets.
U.S. Weakens Fuel-Economy Push
- The White House proposed much weaker fuel-economy standards, cutting 2031 targets to about 34 MPG from 50.4 MPG.
- Reclassifying SUVs and crossovers eases compliance and reduces pressure for manufacturers to electrify.