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Tesla and other EVs’ strong sales helped drop Europe’s CO2 emissions in 2021
A recent report from market trend analysis firm JATO Dynamics has revealed that Tesla’s strong sales in Europe, coupled with the introduction of more environmentally-friendly SUVs, have helped drive a 16% reduction in CO2 emissions among new vehicles sold across the region in 2021.
JATO Dynamics’ findings were related in a report titled Driving the Change for Good: The EV Boom. According to the report, the volume-weighted average emissions of new vehicles across 17 markets in Europe dropped from 117.7g/km to 99g/km year-over-year. This drop happened to coincide with Tesla’s massive push into the electric market in Europe last year, which was made possible by exporting the Model 3 and Model Y from Gigafactory Shanghai in China.
It’s not just Tesla either, according to JATO’s report, as OEMs also showed a willingness to adopt more environmentally-friendly options in popular segments such as the SUV market. The analytics firm noted that prior to 2021, the lack of electric and even electrified SUVs in Europe was a limiting factor in the region. But in 2021, carmakers showed their willingness to meet consumer demand for green SUVs.
“The enhanced offering of new and improved electrified SUV models has further fuelled demand while also having a positive impact in reducing average CO2 emissions with midsize SUVs emerging as some of greenest vehicles in Europe,” the report read.
But while SUVs remained popular in Europe in 2021, other segments such as midsized cars also saw a reduction in CO2 emissions. This is where things get particularly interesting, as JATO noted that the drop in CO2 emissions among midsize cars was partly due to the strength of the Tesla Model 3, which became Europe’s most-registered midsize car in 2021. The Model 3 became very prolific in Europe last year, and the results were notable.
“There have also been interesting results across the traditional segments. For example, midsized cars (D-Segment) posted almost the same average as city cars, with 75.9 g/km compared to 76.9 g/km. This success is due to the Tesla Model 3 – the most registered midsize car in Europe in 2021 – with a volume increase of 64% compared with 2020. Last year, almost one in five D-segment cars registered in Europe was a Model 3, and this has started to have a real impact on the average emissions of the segment. In 2017, before the Model 3 arrived in Europe, the segment’s average was 120.1 g/km under NEDC,” JATO’s report read.
Amidst Europe’s focus on clean transportation, there appears to be a power shift among automakers that are operating in the region. With Tesla now being a very active player in the field, all-electric cars are positioned better than ever to expand their reach. The landscape would likely get even better for Tesla and electric vehicles in the near future as well, as Gigafactory Berlin has now started Model Y production.
“However, as a result of Tesla’s huge success since its arrival in Europe, we have seen a rebalancing of power. The popularity of the Tesla Model 3 and, more recently, the Model Y, pushed Tesla into the top 25 for the first time. With a record 165,700 units in Europe-17 and 169,200 across the whole region last year, Tesla became Europe’s preferred brand for electric vehicles. Overall, it was the 20th most registered make in 2021 and unsurprisingly, led the ranking of emissions by brand with 0.0 g/km.1,” the report read.
JATO Dynamics’ Driving the Change for Good: The EV Boom report can be accessed below.
JATO Consulting CO2 Report Full Year 2021 by Simon Alvarez on Scribd
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Tesla ends Full Self-Driving purchase option in the U.S.
In January, Musk announced that Tesla would remove the ability to purchase the suite outright for $8,000. This would give the vehicle Full Self-Driving for its entire lifespan, but Tesla intended to move away from it, for several reasons, one being that a tranche in the CEO’s pay package requires 10 million active subscriptions of FSD.
Tesla has officially ended the option to purchase the Full Self-Driving suite outright, a move that was announced for the United States market in January by CEO Elon Musk.
The driver assistance suite is now exclusively available in the U.S. as a subscription, which is currently priced at $99 per month.
Tesla moved away from the outright purchase option in an effort to move more people to the subscription program, but there are concerns over its current price and the potential for it to rise.
In January, Musk announced that Tesla would remove the ability to purchase the suite outright for $8,000. This would give the vehicle Full Self-Driving for its entire lifespan, but Tesla intended to move away from it, for several reasons, one being that a tranche in the CEO’s pay package requires 10 million active subscriptions of FSD.
Although Tesla moved back the deadline in other countries, it has now taken effect in the U.S. on Sunday morning. Tesla updated its website to reflect this:
🚨 Tesla has officially moved the outright purchase option for FSD on its website pic.twitter.com/RZt1oIevB3
— TESLARATI (@Teslarati) February 15, 2026
There are still some concerns regarding its price, as $99 per month is not where many consumers are hoping to see the subscription price stay.
Musk has said that as capabilities improve, the price will go up, but it seems unlikely that 10 million drivers will want to pay an extra $100 every month for the capability, even if it is extremely useful.
Instead, many owners and fans of the company are calling for Tesla to offer a different type of pricing platform. This includes a tiered-system that would let owners pick and choose the features they would want for varying prices, or even a daily, weekly, monthly, and annual pricing option, which would incentivize longer-term purchasing.
Although Musk and other Tesla are aware of FSD’s capabilities and state is is worth much more than its current price, there could be some merit in the idea of offering a price for Supervised FSD and another price for Unsupervised FSD when it becomes available.
Elon Musk
Musk bankers looking to trim xAI debt after SpaceX merger: report
xAI has built up $18 billion in debt over the past few years, with some of this being attributed to the purchase of social media platform Twitter (now X) and the creation of the AI development company. A new financing deal would help trim some of the financial burden that is currently present ahead of the plan to take SpaceX public sometime this year.
Elon Musk’s bankers are looking to trim the debt that xAI has taken on over the past few years, following the company’s merger with SpaceX, a new report from Bloomberg says.
xAI has built up $18 billion in debt over the past few years, with some of this being attributed to the purchase of social media platform Twitter (now X) and the creation of the AI development company. Bankers are trying to create some kind of financing plan that would trim “some of the heavy interest costs” that come with the debt.
The financing deal would help trim some of the financial burden that is currently present ahead of the plan to take SpaceX public sometime this year. Musk has essentially confirmed that SpaceX would be heading toward an IPO last month.
The report indicates that Morgan Stanley is expected to take the leading role in any financing plan, citing people familiar with the matter. Morgan Stanley, along with Goldman Sachs, Bank of America, and JPMorgan Chase & Co., are all expected to be in the lineup of banks leading SpaceX’s potential IPO.
Since Musk acquired X, he has also had what Bloomberg says is a “mixed track record with debt markets.” Since purchasing X a few years ago with a $12.5 billion financing package, X pays “tens of millions in interest payments every month.”
That debt is held by Bank of America, Barclays, Mitsubishi, UFJ Financial, BNP Paribas SA, Mizuho, and Société Générale SA.
X merged with xAI last March, which brought the valuation to $45 billion, including the debt.
SpaceX announced the merger with xAI earlier this month, a major move in Musk’s plan to alleviate Earth of necessary data centers and replace them with orbital options that will be lower cost:
“In the long term, space-based AI is obviously the only way to scale. To harness even a millionth of our Sun’s energy would require over a million times more energy than our civilization currently uses! The only logical solution, therefore, is to transport these resource-intensive efforts to a location with vast power and space. I mean, space is called “space” for a reason.”
The merger has many advantages, but one of the most crucial is that it positions the now-merged companies to fund broader goals, fueled by revenue from the Starlink expansion, potential IPO, and AI-driven applications that could accelerate the development of lunar bases.
News
Tesla pushes Full Self-Driving outright purchasing option back in one market
Tesla announced last month that it would eliminate the ability to purchase the Full Self-Driving software outright, instead opting for a subscription-only program, which will require users to pay monthly.
Tesla has pushed the opportunity to purchase the Full Self-Driving suite outright in one market: Australia.
The date remains February 14 in North America, but Tesla has pushed the date back to March 31, 2026, in Australia.
NEWS: Tesla is ending the option to buy FSD as a one-time outright purchase in Australia on March 31, 2026.
It still ends on Feb 14th in North America. https://t.co/qZBOztExVT pic.twitter.com/wmKRZPTf3r
— Sawyer Merritt (@SawyerMerritt) February 13, 2026
Tesla announced last month that it would eliminate the ability to purchase the Full Self-Driving software outright, instead opting for a subscription-only program, which will require users to pay monthly.
If you have already purchased the suite outright, you will not be required to subscribe once again, but once the outright purchase option is gone, drivers will be required to pay the monthly fee.
The reason for the adjustment is likely due to the short period of time the Full Self-Driving suite has been available in the country. In North America, it has been available for years.
Tesla hits major milestone with Full Self-Driving subscriptions
However, Tesla just launched it just last year in Australia.
Full Self-Driving is currently available in seven countries: the United States, Canada, China, Mexico, Australia, New Zealand, and South Korea.
The company has worked extensively for the past few years to launch the suite in Europe. It has not made it quite yet, but Tesla hopes to get it launched by the end of this year.
In North America, Tesla is only giving customers one more day to buy the suite outright before they will be committed to the subscription-based option for good.
The price is expected to go up as the capabilities improve, but there are no indications as to when Tesla will be doing that, nor what type of offering it plans to roll out for owners.
Tesla ends Full Self-Driving purchase option in the U.S.
Musk bankers looking to trim xAI debt after SpaceX merger: report
