Tesla’s (TSLA) stock is sinking on news that sales of the company’s electric vehicles declined another 40% year-over-year in February.
The European Automobile Manufacturers’ Association (ACEA) says that Tesla experienced a 40% year-over-year decline in its new vehicle registrations in Europe during February.
The drop in sales of Tesla vehicles comes as total electric vehicle sales in Europe rose 26% from a year earlier in February.
The European sales decline sent Tesla stock down 6%. The company’s shares have now decreased nearly 30% on the year and are one of the worst performers in the S&P 500 index.
In addition to the poor European sales figures, Tesla’s stock also took a hit from media reports that U.S. President Donald Trump plans to impose new 25% tariffs on all automotive imports.
Tesla has been grappling this year with declining sales, vehicle recalls, a deteriorating reputation, and increasing vandalism of its products and showrooms.
The problems stem from the role Tesla CEO Elon Musk is playing within the Trump administration, with many consumers boycotting the company’s electric vehicles in protest.
Despite the challenges, Tesla has announced plans to ramp-up production of its redesigned Model Y sport utility vehicle (SUV) in April of this year.
Tesla also claims to be moving into new areas that involve supercomputers and robots.
Shares of Tesla are currently changing hands at $272.06 U.S. each.
