Electric car sales surge by 70% in Ireland, but Tesla's decline continues

In the first eight months of the year, 116,099 new cars were registered,

Mon, 01 Sep, 2025 - 15:31

Ronan Smyth

Electric car sales saw another strong increase during August increasing by nearly 70% compared to the same month last year, new data from the Society of the Irish Motor Industry (SIMI) shows.

In total, there were 7,615 new car registrations last month, up 1% year-on-year. Of this, 2,126 were new electric cars, compared to the 1,256 new registrations in August last year.

In the first eight months of the year, 116,099 new cars were registered, a 3.4% increase, of which 20,656 were electric cars representing a 37% year-on-year increase.

In the new car market share by engine type for 2025, petrol cars continue as the new car market leader at 26.31%, followed by hybrid at 22.35%, electric at 17.79%, diesel at 17.26%, and plug-in electric hybrid at 14.72%.

SIMI director general Brian Cooke said electric car sales have now received to 2023 levels “This recovery in electric car sales is one that we must build upon and would not have been possible without Government incentives,” he said.

With Budget 2026 fast approaching, the Government must recommit to the electric car project, extend the current incentives, and consider additional targeted measures which focus on the business sector or the second-hand electric car market.

The top selling electric car during August was the BYD Sealion. So far this year, the best selling electric car has been the Volkswagen ID.4, followed by the Kia EV3, and the Tesla Model 3.

Tesla sales had been holding up well in Ireland, despite falling sales in other European countries, but August saw the carmaker’s sales decline.

During the month 232 new Tesla cars were registered, down 36.4% from 365 last year. So far this year, it has sold 1,951 cars, down 9.8%. The decline is largely being seen in its Model Y sales which are down 24% while its Model 3 sales are up 3.6%.

The brand has seen sales across the bloc fall significantly over the last year following the political activities of the company’s chief executive Elon Musk both in the US and in the EU.

The company’s sales declined for an eighth month in August amid mounting competition from both Chinese electric car rivals and traditional automakers.

Car registration numbers from France, Denmark and Sweden — the first European countries to report monthly numbers for August - also showed that Tesla's revamped Model Y has had little impact on stemming declining sales.

Data from France on Monday showed that registrations of new Tesla cars fell 47.3% in August versus the same month in 2024, while the overall car market grew nearly 2.2%. Tesla registrations fell more than 84% in Sweden - where electric vehicle sales were flat and the market overall was up 6% - and dropped 42% in Denmark.

Norway, where Tesla has deep roots and virtually all new car sales are electric, recorded a 21.3% jump in registrations for the carmaker. But its Chinese rival saw registrations spike 218%.

Tesla's new car sales in Spain jumped 161% in August from the same month in 2024 to 1,435 vehicles.

The recovery in the demand for electric cars comes as Chinese automakers ready a new crop of hybrid and all-electric vehicles for Europe, using next week’s Munich auto show to kick off the next phase of their expansion in the region.

BYD, Xpeng, and Zhejiang Leapmotor Technology are among manufacturers showing off new models at the IAA Mobility 2025 expo expo, moving to broaden their lineups and extend gains made in recent years.

Their push into Europe is intensifying as an electric car price war rages in China, while the lucrative US market is practically closed due to trade hurdles.

The latest figures from researcher dataforce show continued strength in Europe for Chinese electric cars in July, while hybrid sales reached a record 9.7% share.