President Donald Trump threw his support behind adviser billionaire Elon Musk, after one of Tesla’s worst day sell-offs in history, vowed to buy one of his cars on Tuesday.
Tesla has been beaten this year in rival electric cars, especially China, and his close ties with Trump and competition with the world’s right-most career.
Stocks fell 45% in 2025 and fell more than 15% to $222.15 on Monday, the lowest since late October, reflecting the pessimism of new discoveries in global sales of craters.
Trump said in an overnight article on his Truth Social Platform that Musk is “incorporating it on the line” to help the country. Trump claimed in his post that the “radical left madman” tried to “illegally boycott one of the world’s great automakers, and Elon’s “baby.”
The stock climbed more than 3% before the market opened on Tuesday.
Many auto industry analysts attribute Tesla’s recent decline in stocks and car sales to Musk’s support for Trump and other most suitable candidates in the world. Protesters have besieged Tesla’s showroom in the United States in recent days, with their vehicles vandalized on the streets. Perhaps in order to avoid being targeted, the owner of Tesla puts bumper stickers on his car, such as “I bought it before Elon went crazy.”
Federal prosecutors accused a woman of involved in a series of vandals against a Colorado Tesla dealership, which included a Molotov cocktail thrown on a vehicle and a “Nazi car” spray painted on a building.
Musk raised $270 million from Trump’s campaign to enter the 2024 election, appearing on the stage with him and cheering for Trump’s victory over Democratic candidate Kamala Harris in November. By mid-December, Tesla shares soared to $479 per share, but have since lost 45% of its value.
Musk has become the Trump administration’s efforts to cut down the scale, called the government’s efficiency department or threshold. The ministry has pledged large-scale federal workers to cut jobs and aims to significantly reduce government spending.
Analysts say Musk’s shift to right-wing politics doesn’t seem to get along well with potential Tesla buyers, often seen as wealthy and progressive consumers.
Tesla’s sales fell sharply in California, the company’s largest U.S. market, and the company recorded its first global sales decline last year. Similarly, Tesla’s sales fell 45% in Europe in January, despite rising EV sales, according to research firm Jato Dynamics. In Germany and France, sales figures are particularly bad.
China’s latest car sales figures show that Tesla sales there have almost halved, although the decline is largely due to intensified competition among domestic electric vehicle companies.
But, due to competition, U.S. sales have dropped, and a country has a big disagreement with Trump.
U.S. analysts at UBS Global Research expect first-quarter and full-year delivery to fall 5% in the first-quarter and full-year period compared to the same period in 2024.
“Our UBS Evidence Laboratory data shows that in major markets, Model 3 and Model Y (usually within two weeks) have lower delivery times, which we believe indicates softer demand,” they wrote.
In addition to supporting Trump, Musk also expressed support to the far-right, pro-Russian anti-Muslim party in Germany, calling Britain’s Prime Minister a “evil tyrant” and calling Canada a Canadian – a major Tesla market – not a real country. ”
Tesla is not the only company led by Musk and has been in trouble recently. His X social media platform collapsed several times on Monday, with Musk claiming it was a “huge” cyber attack. But like his clear work in federal work, Musk cuts X and technologists’ staff, warning of increased vulnerability.
Musk’s SpaceX rocket exploded and ruptured in Florida last week, and about two months later, the company’s other rocket failed for two months.
Associated Press, Associated Press
