In April 2026, Tesla’s sales of Model 3 and Model Y vehicles manufactured at the Shanghai factory, including exports to Europe and other regions, totaled 79,478 units, a 36% increase from the same period last year, according to data from the China Passenger Car Association.
Despite a 7.2% decrease from March, this figure still significantly exceeds April 2025 levels. This trend suggests Tesla’s gradual recovery in two critically important markets outside the United States following a period of market share contraction. However, the company’s deployment and expanded presence face challenges, including regulatory delays in launching the Full Self-Driving (FSD) system and heightened competition from emerging Chinese electric vehicle manufacturers. In Europe, particularly in Sweden, France, and Denmark, Tesla sales are on the rise, driven in part by rising oil prices amid geopolitical tensions between the US and Iran.
Meanwhile, the company has not yet received full approval to use its FSD technology in China. Tesla’s CFO, Vaibhav Taneja, expressed expectations for obtaining this approval in the third quarter of 2026, a delay from the originally planned first quarter. Following a nearly 50% loss in market share in Europe in 2025, Tesla is intensifying efforts to strengthen its competitive position, including developing a more affordable compact SUV for production in China.