ISTANBUL

US electric vehicle (EV) giant Tesla saw a sharp sales decline in Europe’s two largest auto markets in July, according to data from the Society of Motor Manufacturers and Traders (SMMT) and Germany’s KBA.

The new vehicle registrations plunged roughly 60% in the UK and over 55.1% in Germany, the data showed Tuesday.

The company posted just 987 units sold in the UK, down from approximately 2,462 a year earlier, and 1,110 in Germany.

Meanwhile, BYD, the Chinese electric vehicle giant, soared ahead in both markets. UK sales surged 390% to 3,184 units, while Germany saw BYD registrations rise nearly fivefold to 1,126 in July.

Despite overall EV market growth, Germany’s battery electric vehicle sales jumped 58% to 48,614 units, and the UK’s market grew 9.1%—Tesla lost a significant foothold across the region.

The most recent data confirms a regional decline in Elon Musk's company's sales, which are still hampered by fierce competition, particularly from Chinese EV producers, as well as brand damage caused by Musk's divisive remarks and ties to the Trump administration.

The backlash may be felt more strongly in Europe, as evidenced by a sharp drop in Tesla sales in the region in the first half of the year.

Data from the European Automobile Manufacturers’ Association revealed a 43.7% year-on-year reduction in sales in the first six months of the year.

Tesla also lost market share in Europe for the sixth straight month in June.