Weak recovery for the auto industry - continued decline for Tesla

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Weak recovery for the auto industry - continued decline for Tesla
Photo: Tomas Oneborg/SvD/TT

The automotive industry recovered somewhat in 2025, including a slight increase in rechargeable vehicles. However, Tesla's decline continues, according to Mobility Sweden's annual statistics.

The passenger car market has had a tough time during the recession, and when 2024 was reviewed, Mobility Sweden noted that it had been the weakest year in ten years.

2025 was slightly better. The number of newly registered passenger cars increased by 1.3 percent compared to 2024. The increase was driven in part by electric cars, whose share of the total number of registrations increased from 35 to 36.5 percent.

At the same time, however, the decline for U.S. carmaker Tesla continued in December, bringing the decline for the year to a 66.9 percent drop compared with 2024.

Trump's announcement

In total, nearly 273,000 passenger cars were registered in 2025, a year that started strongly but was weakened by U.S. President Donald Trump's announcement of trade tariffs in the spring.

Due mainly to supply disruptions in 2024, last year was a record year for the bus market, with new registrations increasing by a whopping 149 percent - the highest level in 50 years. At the same time, however, both light and heavy trucks declined by 13 and 4 percent respectively.

Sees an increase

However, according to Mobility Sweden, there are signs that 2026 will be better.

"For light vehicles, we see a slight increase in 2026, driven by the government's expansionary fiscal policy, lower interest rates and improved economic conditions," says Mattias Bergman, CEO of Mobility Sweden, in a press release.

The industry organization's forecast for passenger car registrations is an increase of 2.5 percent compared to 2025. The share of electric cars is expected to reach 40 percent.

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By TT News AgencyEnglish edition by Sweden Herald, adapted for our readers

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