Insightful Word
  • Investing
  • Stock
  • Economy
  • Politics
  • Investing
  • Stock
  • Economy
  • Politics
No Result
View All Result
Insightful Word
No Result
View All Result
Home Investing

Tesla defies European slump in February as UK sales remain strong ahead of tax hike

admin by admin
March 5, 2025
in Investing
0
Tesla defies European slump in February as UK sales remain strong ahead of tax hike
0
SHARES
5
VIEWS
Share on FacebookShare on Twitter

After reporting dismal sales in Europe for January, Tesla’s Model 3 and Model Y remained highly popular in the UK in February, ranking among the top three best-selling car models of the month.

According to data from the Society of Motor Manufacturers and Traders (SMMT), nearly 4,000 Teslas were sold, making the Model 3 and Model Y the second and third most popular cars after the Mini Cooper.

The broader UK car market saw a slight decline, with total new registrations dropping 1% to 84,054 vehicles.

However, battery electric vehicles (BEVs) outperformed the market, with sales rising by almost 42%.

BEVs accounted for a quarter of all new registrations, driven by consumers looking to avoid an upcoming tax surcharge on expensive electric cars.

The tax, which comes into effect in April, will add £2,125 over six years to the cost of BEVs with a list price above £40,000.

Industry analysts suggest that many buyers rushed to purchase electric cars before the deadline, leading to a short-term sales boost.

EV tax changes fuel short-term sales boost

Despite the surge in BEV registrations, industry leaders warn that demand could slow once the new tax takes effect.

The Expensive Car Supplement (ECS), unchanged since 2017, disproportionately impacts electric vehicles, which tend to have higher production costs than their petrol and diesel counterparts.

Mike Hawes, chief executive of the SMMT, said the UK’s EV market needs more government incentives rather than financial penalties.

Top models sold in UK in Feb, Source: SMMT

“Although February’s figures show a subdued overall market, the good news is that electric car uptake is increasing, albeit at huge cost to manufacturers in terms of market support,” he said.

He added that the tax changes “perversely” discourage EV adoption and could hurt both the new and used markets, slowing the UK’s transition to electric mobility.

After January’s data, UK’s February data defies concerns

Data from the European Automobile Manufacturers’ Association (ACEA) last month showed that Tesla’s European sales nearly halved in January, bringing its market share down to just 1%.

In the UK, the company lost ground to Chinese competitor BYD for the first time, even as the overall electric vehicle (EV) market expanded by 42%.

Analysts suggested that Musk’s recent actions—including his vocal support for Germany’s far-right AfD party, controversial public gestures, and attacks on European politicians—alienated potential buyers.

His close ties to former US President Donald Trump have also raised concerns, particularly among liberal-leaning consumers in key European markets.

UK’s February data has managed to defy these concerns for now.

The post Tesla defies European slump in February as UK sales remain strong ahead of tax hike appeared first on Invezz

Previous Post

Why CrowdStrike’s weaker guidance could be a smart buying signal

Next Post

How billionaire Caltagirone could influence Italy’s banking M&A wave

admin

admin

Next Post
How billionaire Caltagirone could influence Italy’s banking M&A wave

How billionaire Caltagirone could influence Italy’s banking M&A wave

Trending News

Vanguard fined $9M in Australia’s largest greenwashing penalty

Vanguard fined $9M in Australia’s largest greenwashing penalty

September 25, 2024
Is it time to pull out of high-flying German stocks?

Is it time to pull out of high-flying German stocks?

May 31, 2025
American Airlines grounds all flights nationwide on ‘technical issue’

American Airlines grounds all flights nationwide on ‘technical issue’

December 24, 2024
Subscribe to Insightful Word


    Recent News

    ARB eyes recovery as Arbitrum taps agentic DeFi revolution with $1M grant

    ARB eyes recovery as Arbitrum taps agentic DeFi revolution with $1M grant

    June 5, 2025
    Ripple releases $2.18B in XRP, price dips 2%

    Ripple releases $2.18B in XRP, price dips 2%

    June 5, 2025
    Nintendo Switch 2 launch sees shortages as 2.2M vie for units in Japan

    Nintendo Switch 2 launch sees shortages as 2.2M vie for units in Japan

    June 5, 2025
    Why Bank of America sees 13% upside on Roblox (RBLX)

    Why Bank of America sees 13% upside on Roblox (RBLX)

    June 5, 2025

    Recent News

    ARB eyes recovery as Arbitrum taps agentic DeFi revolution with $1M grant

    ARB eyes recovery as Arbitrum taps agentic DeFi revolution with $1M grant

    June 5, 2025
    Ripple releases $2.18B in XRP, price dips 2%

    Ripple releases $2.18B in XRP, price dips 2%

    June 5, 2025

    Latest News

    • ARB eyes recovery as Arbitrum taps agentic DeFi revolution with $1M grant
    • Ripple releases $2.18B in XRP, price dips 2%
    • Nintendo Switch 2 launch sees shortages as 2.2M vie for units in Japan

    About Insightful Word

    • Contacts
    • Cookie Notice
    • Privacy Policy
    • Terms of Service
    • Trading tools
    • Contacts
    • Cookie Notice
    • Privacy Policy
    • Terms of Service
    • Trading tools

    Copyright © 2025 Insightfulword.com. All Rights Reserved.

    No Result
    View All Result
    • Investing
    • Stock
    • Economy
    • Politics

    Copyright © 2025 Insightfulword.com. All Rights Reserved.