May 22 (Reuters) - Chinese automaker BYD

sold more electric vehicles in Europe than Tesla for

the first time, according to a report by JATO Dynamics, as an

aging model lineup and CEO Elon Musk's politics hurt demand for

the U.S. EV maker's cars.

BYD, which also makes plug-in hybrid vehicles, registered

7,231 battery-powered electric vehicles (BEV) in Europe in

April, while Tesla registered 7,165 units, the market research

firm said.

"This is a watershed moment for Europe's car market,

particularly when you consider that Tesla has led the European

BEV market for years, while BYD only officially began operations

beyond Norway and the Netherlands in late 2022," JATO Dynamics'

global analyst Felipe Munoz said.

Demand for electric vehicles in Europe remains steady. BEV

registrations surged 28% in April from last year, largely driven

by Chinese car brands.

Despite the EU's imposition of tariffs on Chinese-made

electric vehicles, registrations of such cars increased 59% in

the month from a year earlier, while carmakers from Europe,

Japan, South Korea and the United States recorded 26% growth.

WEAK TESLA DEMAND

The company reported its first drop in annual deliveries last

year, and analysts expect another fall this year after a 13%

decline in the first quarter.

Musk said earlier this week that Tesla had already turned

around sales, and demand was strong in regions apart from

Europe.

His political views have triggered waves of protests against

Tesla in the U.S. and Europe, leading to a slump in sales.

Additionally, production halts to retool factories to make

the redesigned Model Y crossover globally caused a drop in

manufacturing and sales in the first quarter.

Analysts have also attributed lower sales to customers

waiting for less-expensive versions of the new Model Y, Tesla's

best-selling vehicle, to become more widely available.