TESLA UK SALES DROP AS DRIVERS OPT FOR CHINESE RIVALS
Tesla’s deliveries in the UK have fallen sharply as the popularity of the carmaker’s Chinese rivals surges.
The electric vehicle (EV) manufacturer, led by Elon Musk, delivered just 45,239 vehicles in the UK in 2025 – a 9pc fall from 2024.
Sales also fell by 6pc to £1.83bn, according to accounts for Tesla’s UK subsidiary, down from £1.95bn the previous year. The drop in revenue comes on top of a 21pc revenue decline in 2024.
Tesla has been struggling in the UK amid growing competition from cheaper Chinese rivals.
According to separate data from the Society of Motor Manufacturers and Traders, battery-electric vehicle sales rose 44.5pc to a record 43,106 last month, capturing more than a quarter of the total car market.
It was the eighth consecutive month of market growth and the best July total since 2019.
However, none of Tesla’s cars featured in the top 10 most popular models in July while the Chinese Jaecoo E5, made by Chery International, was the third most popular electric car.
Another cut-price SUV made by Chery International, the Jaecoo 7, which is not electric, has become so popular that it has been nicknamed the Temu Range Rover.
While it bears a striking resemblance to Range Rover, it costs about a third less, just £29,000. The Jaecoo E5 also considerably undercuts Tesla and other manufacturers. Its retail price starts at just £27,505 compared to around £38,000 for a Tesla Model 3.
Unlike the EU or the US, the UK has chosen not to levy tariffs on Chinese electric vehicles, and they have skyrocketed in popularity in Britain.
However, there are concerns that Chinese EVs present a security risk. The US has introduced regulations requiring automakers, from March 2026, to certify that core connected systems contain no Chinese-developed software amid fears around foreign surveillance.
Tesla has struggled globally after the Trump administration cut a $7,500 (£5,600) tax credit for electric vehicles and dismantled rules to incentivise the production of EVs.
The carmaker’s profits in the second quarter of the year fell by 17pc to $1.2bn, as it was forced to cut prices to lure customers back, and its income from credits dried up.
At the same time, Mr Musk has accelerated the group’s pivot from EVs to autonomous taxis and AI-powered humanoid robots.
The company more than doubled its capital spending compared with the same period last year, as it invested heavily in AI and robotics.
Tesla was contacted for comment.
2026-08-08T13:25:33Z
