Sales in the EU plunged for the third consecutive month, a setback for Elon Musk’s EV maker even as demand for battery-electric vehicles grew in the bloc.

Tesla's new car sales in Europe dropped 28.2% in March from a year earlier, even as overall battery electric vehicle sales rose 23.6% in the month, according to data from the European Automobile Manufacturers Association (ACEA).

Overall sales of electric vehicles rose almost 11 percent in the first three months of the year as traditional carmakers offered new models.