Tesla's sales in the European market continued their downward spiral in April, experiencing notable declines of 81% in Sweden, 73.8% in the Netherlands, 67.2% in Denmark, 59.4% in France, and 33% in Portugal. This stands in stark contrast to the overall 28% increase in battery electric vehicle sales across Europe during the first quarter. Amidst this backdrop, Tesla's sales slipped by 37.2%. In an effort to tackle these market challenges, Tesla anticipates delivering the new Model Y in June and initiating promotional campaigns in various countries.

Concurrently, Chinese electric vehicle brands are gaining significant market share in Europe, leveraging their high cost-performance ratios and gradually undermining Tesla's technological edge. Additionally, Musk's political endeavors have tarnished Tesla's brand image, with a survey revealing that 59% of respondents are less inclined to purchase a Tesla. The confluence of these factors has led to a sharp decline in Tesla's profits, prompting the board of directors to contemplate the appointment of a successor to Musk.

In response, Musk has vowed to curtail his involvement in political matters, instead focusing his efforts on the company's core operations. This strategic shift aims to rejuvenate Tesla's performance and reverse the current downward trend in European sales.