Tesla registrations, a proxy for sales, delivered a sharply divided performance across Europe in August. New-vehicle registrations rose 279% year over year in France and 104% in Denmark, but dropped 79% in Norway, 41% in Sweden, 37% in Portugal and 36% in Italy. France has become Tesla's strongest European market in 2026, with cumulative sales surpassing 20,000 vehicles, supported by a leasing subsidy of up to €7,000, Tesla's €5,000 trade-in bonus and Model Y eligibility for the country's ecological bonus. Norway's decline was magnified by unusually strong registrations in August 2025 before fiscal benefits changed, while Tesla's quarter-end delivery pattern and intensified competition also contributed. XPeng and BYD together accounted for 11.4% of Norway's August market, up from 4.9% a year earlier. Tesla's European sales have begun recovering in 2026 after two consecutive annual declines, but investors are watching whether the improvement can broaden beyond a few markets. Tesla shares slipped toward $364 as the mixed data emerged. Registration figures from Germany and the United Kingdom are due later this week, followed by Tesla's third-quarter delivery report; the company delivered 480,126 vehicles in the second quarter, including 467,762 Model 3 and Model Y units.