The thing is that Europeans wanted the Tesla cars. They fit perfectly into the Europeans identity - had Tesla kept on and kept the Tesla cars competitive without any political interference, then that could have been great car exports from the US to the EU.
They wanted it because at the launch until 2018 it was basically free because of all the tax incentives. You got the following benefits (Netherlands):
The 85K car resulted in 90K deductibles in the first year.The 85K car, including everything was cheaper to drive / own than a FREE car.
Almost all of that stopped in 2022, and what do you know? People stopped buying. THIS is politics. Setting policies which drive behavior.
The government "decides" what you will want to buy / drive / etc.