Tesla’s fortunes fall as Musk rises in Trump world

Subscribe to enjoy similar stories. Few brands have their image as closely tied to their CEO as Tesla. For most of the electric-car maker’s history, that was good for business.

Elon Musk’s pledge to reduce the world’s reliance on fossil fuels and his push to broaden the appeal of electric cars attracted legions of buyers looking to make a statement—to declare their allegiance to his grand vision of techno-environmentalism. Now that Musk has allied himself with Donald Trump and plunged into the deep end of national politics, many Tesla owners and would-be buyers are asking themselves what kind of statement it makes to get behind the wheel of a Tesla these days. Such doubts have begun showing up in worrisome numbers for the company.

Garth Ancier, a TV executive from Los Angeles, recalled discussing more than a year ago with two fellow owners what it felt like to be seen in a Tesla. “They said, ‘You know, I’m getting uncomfortable driving this car around because it’s like driving a big red MAGA hat,’" Ancier said. Now Ancier wants to sell his 4-year-old Model X.

“If not for his behavior, I’d probably stick with a Tesla." Tesla, the nation’s largest producer of electric vehicles by far, has long led the auto industry in consumer loyalty, and surveys show many owners have no intention of abandoning the brand now. Yet recent polling shows that the brand’s appeal has been eroding, and sales data suggest it has begun taking a financial toll. Back in 2022, before Musk waded into presidential politics, automotive consulting firm Strategic Vision found that 22% of car shoppers surveyed said they would “definitely consider" a Tesla for their next vehicle purchase.