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European EV market expected to slow as buyers await affordable models

(Credit:@lourencovc/Instagram)

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Several parties are echoing concerns about the European electric vehicle (EV) market as some buyers await new, more affordable models that are just a few years out — and as significant economic uncertainty remains.

Sales of battery-electric vehicles (BEVs) jumped 47 percent in Europe throughout the first nine months of this year, according to Reuters. However, automakers including Mercedes-Benz, Volkswagen and Tesla have aired concerns about high interest rates putting off consumers and slowing EV growth.

According to AutoTrader, EVs in Britain are still roughly 33 percent more costly than their fossil fuel alternatives. Last week, Tesla announced plans to produce its next model, a €25,000/$25,000 EV, at its Gigafactory outside of Berlin, Germany. With the long-anticipated “affordable EV” on its way, some customers may be inclined to wait to buy, along with holding out for what they expect to be better products.

Volkswagen’s EV orders, as one example, were just half of what they were in 2022 during the same nine-month period. On Thursday, Volkswagen announced hopes to build a sub-$35,000 EV in the U.S. within the next three to four years.

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Like many automakers, Tesla reported a slight delivery miss in Q3 compared to analyst expectations. However, the company had warned about sales slowing during the third quarter in its Q2 earnings call, and the company has still maintained its lofty delivery goal for Q4, which seems like a good sign.

Even beyond the economic environment and hopes for an affordable EV, data analysis firms and dealerships warn that buyers are holding off until they feel convinced that the technology meets their needs. Thomas Niedermayer, owner of a Bavarian dealership that has been in business for 45 years, notes that the fast-moving technology advancements may have some holding out for more future-proof EV options.

Credit: Reuters

“The main problem is uncertainty,” Niedermayer said. “Many assume that the technology will improve and would rather wait three years for the next model than buy a vehicle now that will quickly lose value.”

Flavia Garcia and Tom Carvell in Edinburgh, Scotland, are in the market for a new vehicle as their 15-year-old Toyota Auris requires replacement. Ahead of gas car sales bans, the couple says they would consider purchasing an EV if it weren’t for fears of charging infrastructure deficiency, battery life and sticker price.

“You want to do the right thing for the environment, but it feels like you’re setting yourself up for a very expensive investment that will make your life that bit more complicated,” Garcia told Reuters. “We’ll probably get a hybrid first.”

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EV sales also slowed in September, and Felipe Munoz of JATO Dynamics says the slowdown will remain until affordable EVs are released.

Meanwhile, Tesla’s Model Y was the top-selling vehicle across Europe in September, and the company last month announced it had delivered one million vehicles across the continent. The U.S. EV maker is also rolling out its Model 3 Highland in Europe, set to continue over the next couple of quarters.

Other U.S. automakers, including Ford and General Motors (GM), have recently announced plans to delay the launch of more affordable EVs and to cut back on EV spending as they cite low demand. Over the weekend, it was reported that Ford will no longer build a plant with LG in Turkey, with the slowed pace of EV adoption being the main reason for the canceled plans.

“From a regulatory standpoint, they don’t have to push product out right now – they can afford to focus on profitability,” says Alistair Bedwell, GlobalData’s head of powertrain forecasting. “But they need to have an eye on Tesla and the Chinese brands, because they don’t want to get too far behind.”

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Credit: Reuters

According to a poll from the consumer research firm The Langston Co, hopes to buy an EV in Germany have remained steady in the past year, though rising sales suggest that some automakers have finally caught up to supply chain bottlenecks, according to Insights Manager Ben DuCharme.

Philip Nothard, insight director at dealer services firm Cox Automotive, says that concerns around low residual values have also lowered customer sentiment, with many choosing vehicle purchases based on what they think they can resell in a few years.

“We call it the valley of death, which we will be going through in 2024 to 2027: low residual values, high supply, and low demand,” Nothard said.

Tesla Model 3 and Y still dominating U.S. EV market, shows data

What are your thoughts? Let me know at zach@teslarati.com, find me on X at @zacharyvisconti, or send your tips to us at tips@teslarati.com.

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Zach is a renewable energy reporter who has been covering electric vehicles since 2020. He grew up in Fremont, California, and he currently lives in Colorado. His work has appeared in the Chicago Tribune, KRON4 San Francisco, FOX31 Denver, InsideEVs, CleanTechnica, and many other publications. When he isn't covering Tesla or other EV companies, you can find him writing and performing music, drinking a good cup of coffee, or hanging out with his cats, Banks and Freddie. Reach out at zach@teslarati.com, find him on X at @zacharyvisconti, or send us tips at tips@teslarati.com.

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Tesla Full Self-Driving shows stunning maneuver in Europe to silence skeptics

In a striking demonstration of autonomous driving prowess, Tesla’s Full Self-Driving (FSD) system recently showcased its capabilities on the narrow rural roads of the Netherlands. Captured in two in-car videos, the system encountered scenarios that would challenge even the most experienced human drivers.

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Credit: Tesla

Tesla Full Self-Driving, fresh on the heels of its approval for operation on European roads for the first time, showed off a stunning maneuver that will certainly silence any skeptics on the continent.

Fresh off its approval in the Netherlands, Full Self-Driving is working toward a significant expansion into more parts of Europe.

In a striking demonstration of autonomous driving prowess, Tesla’s Full Self-Driving (FSD) system recently showcased its capabilities on the narrow rural roads of the Netherlands. Captured in two in-car videos, the system encountered scenarios that would challenge even the most experienced human drivers.

In the first clip, a wide tractor occupied more than half the lane on a tight two-way road. Rather than braking abruptly or forcing a collision risk, FSD smoothly edged the vehicle onto the adjacent bike path—using the extra space with precision—before seamlessly returning to the lane once clear.

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The second clip was equally demanding: while overtaking a group of cyclists, an oncoming car approached at speed.

FSD maintained a safe, minimal buffer to the cyclists while timing the pass perfectly, avoiding any swerve or hesitation that could unsettle passengers or other road users.

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This maneuver highlights FSD’s advanced spatial reasoning and predictive planning. On roads often under three meters wide, with no room for error, the system calculated available clearance in real time, incorporated shoulder and path geometry, and executed a controlled deviation without compromising safety.

It treated the bike path as a legitimate extension of navigable space, something many drivers might hesitate to do, while respecting Dutch road norms and cyclist priority.

Such feats align closely with a growing library of impressive FSD maneuvers documented on camera worldwide.

In urban Amsterdam, for instance, FSD has navigated the world’s densest cyclist environments, weaving through hundreds of unpredictable bike movements on canal-side streets with tram tracks and pedestrians.

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One uncut drive showed it yielding smoothly at crossings, overtaking where needed, and even handling a near-perfect auto-park in a tight residential spot, demonstrating the same low-speed precision seen in the rural clips.

Teslas using FSD have tackled turbo roundabouts in the Netherlands, complex multi-lane circles notorious for geometry challenges, merging confidently while yielding to traffic. Similar clips depict smooth handling of construction zones, emergency vehicle pull-overs, and gated parking barriers, where the car stops precisely, waits for clearance, and proceeds without driver input.

Collectively, these examples illustrate FSD’s evolution toward handling the unpredictable.

The rural Netherlands maneuvers aren’t isolated. Instead, they reflect a pattern of spatial awareness, cyclist deference, and traffic anticipation seen from city streets to highways.

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As FSD continues refining through real-world data, videos like this one are certainly building a compelling case for its readiness on Europe’s varied roads.

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Tesla utilizes its ‘Rave Cave’ for new awesome safety feature

Part of the massive interior overhaul of both the Model 3 “Highland” and Model Y “Juniper” was the addition of interior accent lighting to help bring out the mood of the vehicle, increase the customization of the interior, and to create a unique listening experience.

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Credit: Tesla | X

Tesla is utilizing its ‘Rave Cave’ for an awesome new safety feature that will arrive with the upcoming Spring Update for 2026.

Part of the massive interior overhaul of both the Model 3 “Highland” and Model Y “Juniper” was the addition of interior accent lighting to help bring out the mood of the vehicle, increase the customization of the interior, and to create a unique listening experience.

Tesla added a Sync Lights feature that will strobe the accent strips with the beat of the music.

It is one of the most unique and one of the coolest non-functional features of a Tesla, as it does not improve the driving of the vehicle, but makes it a cool and personal addition to the interior.

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However, Tesla is going to take it one step further, as the Rave Cave lights will now be used for blind spot recognition. This feature will be added as the Spring 2026 Update starts to roll out.

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Tesla writes:

“Accent lights now turn red when an object is in your blind spot and your turn signal is engaged, or when an approaching object is detected while parked.”

This neat new safety feature will now increase the likelihood of a driver, who is operating their Tesla manually, of seeing the blind spot warnings that are currently available on the A pillar and on the center touchscreen.

These new alerts will now warn drivers of cross traffic as they back out of a parking space with little to no visibility of what is coming. It is a great new addition that will only increase the safety of the vehicles, while also utilizing something that is already installed in these specific Model 3 and Model Y units.

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The Model 3 and Model Y were the central focus of the Spring 2026 Update, especially considering the fact that the Model S and Model X are basically gone, with only a few hundred units left. Additionally, Tesla included new Immersive Sound and Car Visualization for the Model 3 and Model Y specifically in this new update.

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Tesla parked 50+ Cybercabs outside its Texas Factory with some crash tested

Dozens of Tesla Cybercabs have been spotted at Giga Texas crash testing facility ahead of launch.

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Tesla Cybercab fleet spotted at Gigafactory Texas [Credit: Joe Tegtmeyer)
Tesla Cybercab fleet spotted at Gigafactory Texas on April 13, 2026 [Credit: Joe Tegtmeyer)

Drone footage captured by longtime Giga Texas observer Joe Tegtmeyer shows over 50 units of Tesla Cybercab at the Austin factory campus, including several units clustered by Tesla’s on-site crash testing facility.

The outbound lot at Gigafactory Texas sits just outside the factory exit and serves as the primary staging area where finished vehicles are held before being loaded onto transport carriers or dispatched for validation testing. On any given day, the lot holds a mix of Model Y and Cybertruck units alongside the growing Tesla Cybercab fleet, as can be seen in the drone footage captured by Joe Tegtmeyer.

Tesla Cybercab fleet spotted at Gigafactory Texas [Credit: Joe Tegtmeyer)

Tesla Cybercab fleet spotted at Gigafactory Texas on April 13, 2026 [Credit: Joe Tegtmeyer)

Roughly 50 Cybercab units are visible across the campus, parked in tight organized rows. Most of the units visible still carry steering wheels and pedals, temporary additions Tesla included to satisfy current safety regulations while the vehicles accumulate real-world data ahead of full regulatory approval for a steering wheel-free design.

Tesla Cybercab fleet spotted at Gigafactory Texas [Credit: Joe Tegtmeyer)

Tesla Cybercab fleet spotted at Gigafactory Texas [Credit: Joe Tegtmeyer)

Tesla operates dedicated Crash Labs at both its Giga Texas and Fremont facilities that are purpose-built for controlled structural crash tests. Historically, automakers begin intensive crash testing roughly one to two months before volume production kicks off. The Cybertruck followed almost exactly that pattern. The Cybercab appears to be on the same track facility that we first saw back in October 2025.

Tesla Cybercab crash test units spotted at Gigafactory Texas [Credit: Joe Tegtmeyer)

Tesla Cybercab crash test units spotted at Gigafactory Texas [Credit: Joe Tegtmeyer)

The first production Cybercab rolled off the Giga Texas line on February 17, 2026. Volume production is now targeted for April. Musk previously wrote on X that “the early production rate will be agonizingly slow, but eventually end up being insanely fast,” and separately stated Tesla is targeting at least 2 million Cybercab units per year. Commercial robotaxi service in Austin is targeted for late 2026.

 

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