Tesla's sales in the European Union's second-largest electric car market plunged 63 percent

Tesla's registrations fell 63 percent last month in France, the European Union's second largest market for pure electric vehicles.

According to the French auto industry association La Plateforme Automobile, the Tesla manufacturer registered just 1,141 vehicles in January, the lowest number since August 2022. Tesla underperformed the industry as a whole, which fell 6.2 percent.

Tesla CEO Elon Musk has engaged in European politics to an unprecedented degree in recent months, supporting the far-right Alternative for Germany party and challenging British Prime Minister Starmer and his Labour government. It is unclear to what extent this has affected demand for Tesla vehicles in the region.

Tesla's registrations in EU countries fell 13 percent last year, with Germany accounting for most of the decline. The electric car maker has struggled in Germany due to aging models, increased competition and the withdrawal of government subsidies at the end of 2023.

Tesla's sales in Germany fell 41 percent last year, and overall sales of pure electric vehicles fell 27 percent. The Federal Motor Carrier Administration is scheduled to report January sales on Wednesday.

A French government minister late last month called on the European Commission to immediately suspend rules on carbon dioxide emissions from passenger cars, warning that billions of euros could flow to Chinese manufacturers and Tesla, adding that "Tesla CEO Elon Musk is openly attacking European rules and values."