Of all Elon Musk's companies, the most successful and lucrative business has easily been his EV car company, Tesla. For many, the brand name "Tesla" has become synonymous with electric cars.
Unfortunately for the company, "Tesla" is also becoming synonymous with President Donald Trump and Elon Musk's embrace of the far-right.
Numerous reports have shown that Tesla's sales have plummeted worldwide as Musk ties himself to the Trump administration and fires federal workers under DOGE. EV outlet Electrek reports that Tesla's sales are worse in Europe. Last month, deliveries in Europe dropped by 50 percent compared to the same timeframe one year earlier.
Certain acts, like the so-called "Roman salute" gesture that Musk performed on Inauguration Day, have also affected Tesla's sales.
According to a new report on Wednesday, sales in Europe continue to decline. For example, Tesla has seen a sales decline of 76 percent in Germany. In February 2025, Tesla only delivered 1,429 new vehicles in Germany, compared to more than 6,000 in February 2024. This data is especially concerning for Tesla, as Germany is Europe's largest EV market. Musk recently backed Germany's far-right AfD party in the country's recent elections.
According to the European Automobile Manufacturers' Association (ACEA), Tesla vehicle registrations across the EU, including the UK, Iceland, Norway, Switzerland, and Liechtenstein, fell by 45 percent from January 2024 to January 2025. It's not just Europe, either.
Tesla sales in Australia fell by nearly 72 percent in February. The company only sold 1,592 vehicles last month compared to the 5,665 it sold the previous year.
It appears that Tesla sales are slumping in the U.S., too. According to the California New Car Dealers Association, Tesla registered fewer cars in the state in all four quarters of 2024. California is the largest EV market in the U.S. Tesla sales fell by 8 percent in the fourth quarter and 12 percent for the whole year.
Recently, The New York Times reported on now-former Tesla owners who recently sold their EVs due to Musk's actions and the associated consequences of being seen as supporters of Musk's for driving a Tesla vehicle.
As long as Musk works with Trump, Tesla's business will likely continue to decline. After all, the consumers most likely to buy an electric vehicle are environmentally conscious, often liberal individuals. Even if the Trump-Musk relationship ends, it might be too late for Tesla to redeem itself in the eyes of many of those consumers.
Topics Electric Vehicles Tesla Elon Musk
