The electric vehicle (EV) sales of Tesla in Australia have experienced a dramatic decline based on a 71.9% decrease in Model 3 and Model Y combined sales in February compared to the previous year. The Electric Vehicle Council data reveals Tesla sold 1,592 electric vehicles in February, while the previous year they sold 5,665 units. The first two months of 2025 have resulted in a 66% drop in sales, which brought the total to 2,331 units from 6,772 units.
The decrease in sales is attributed to limited product availability and customer preferences for the upcoming Model Y update. The rise of concerns among consumers stems from CEO Elon Musk’s connections to Donald Trump and far-right political groups.
Australian consumers purchased 924 Model Y vehicles during February 2025 compared to the 2,072 units they bought in February 2024. Model 3 sales experienced an 81.4% decline as the market sold only 668 units during February 2024 while reaching 3,593 units the previous year. The Model 3 faces design obsolescence alongside rising competition from Chinese EV manufacturer BYD.
Polestar 2 sales decreased to 36 units during February 2023 from 112 units in February 2022, but the company achieved an 11.6% sales growth through new models like the Polestar 4, which sold 83 units.
Globally, Tesla faces similar struggles. The European market shows declining Tesla sales because customers strongly oppose Musk’s political activities, especially in Germany and the UK. North American Tesla dealership protests have emerged, and Canadian citizens submitted more than 300,000 signatures to strip Musk of his citizenship rights.
The stock value of Tesla has experienced a significant decline that erased the gains Tesla achieved after the election. The stock market performance of Tesla has been negatively impacted by key executives, including Chairperson Robyn Denholm and Musk’s brother Kimball, who sold millions in shares.