Some automakers have increased the prices of petrol engine models to encourage EV adoption, but the industry fears that customers will simply buy fewer cars.

KEY TAKEAWAYS Tesla shares are extending this year’s declines, dropping more than 8% Tuesday, as the company recorded a 45% plunge in European EV registrations last month.The stock is now down around 25% in 2025 and has become the weakest performer in the Magnificent 7 so far this year.

Elon Musk could be facing an electric car headache as Tesla sales fall in Europe as motorists turn to other brands.  Data from the European Automobile Manufacturers’ Association (ACEA) found that Tesla sales across the EU,