Electric Vehicle Sales Surge UK, Germany, NZ Amid Tesla Declines

Electric vehicle (EV) sales are rising significantly in major markets like the UK and Germany, driven by growing consumer interest and government mandates aimed at increasing zero-emission vehicle adoption. In the UK, EV registrations surged by nearly 26% in May 2025 compared to the previous year, accounting for almost 22% of the market, though the government’s 28% EV sales target remains unmet. Hybrid and plug-in hybrid vehicle sales also saw notable growth, contributing to a slight overall increase in new car registrations despite ongoing declines in petrol and diesel sales. Germany's auto market experienced a modest rebound with a 45% increase in EV registrations, offsetting declines in combustion engine vehicle sales; however, Tesla's sales fell sharply across Europe, including Germany, where its sales dropped over a third amid backlash against Elon Musk's political associations. In New Zealand, EV market share grew to 5.5%, boosted by competitive pricing and new Chinese brands, but Tesla's sales continue to struggle following the end of government incentives and Musk’s controversial political stances. Industry leaders in the UK are urging government action to alleviate the financial burden on manufacturers and consumers through measures such as VAT reductions and incentives to sustain EV market growth.