Washington | U.S. President Donald Trump has announced plans to purchase a Tesla vehicle in support of Elon Musk, following a steep decline in the electric carmaker’s stock price. Trump made the statement on his social media platform, Truth Social, on Tuesday, calling Musk a “great American” and expressing his confidence in Tesla.
In response, Musk thanked Trump, replying, “Thank you, President.”
Tesla’s Shares Hit Hard, Musk’s Wealth Shrinks by $130 Billion
On Monday, Tesla shares suffered a 15% drop, marking the company’s biggest single-day loss since September 2020. The stock has plummeted 45% year-to-date (YTD) in 2025, with the share price currently standing at $222 per share.
As a result of the decline, Tesla’s market capitalization has fallen by ₹4 trillion (₹4 lakh crore), and Musk’s total wealth has decreased by a staggering $130 billion (₹11.35 lakh crore) since January.
Trump: “Tesla Is Like a Child to Musk”
In his social media post, Trump urged Republicans, conservatives, and all Americans to support Musk, stating:
“Elon Musk is taking risks to help our country, and he is doing an excellent job. Tesla is one of the best car-making companies in the world, and it is like a ‘child’ to Elon.”
He further added:
“In the 2024 election, they tried to do the same with me. But what was the outcome? Tomorrow, at any event, I will buy a new Tesla car and show my trust and support for Elon. They are truly great Americans. They are using their skills to make America great again—why should they be punished for this?”
Public Backlash: Protests Against Musk Impact Tesla Sales
Musk’s growing political involvement has led to backlash from various groups in the U.S. Protests erupted outside Tesla factories and service centers, with demonstrators criticizing Musk’s support for Trump and his stance on job cuts in the public sector. Many were seen chanting “Elon must go back.”
This discontent has negatively impacted Tesla’s sales, especially after Musk endorsed Germany’s far-right Alternative for Germany (AfD) party ahead of the country’s February elections. Following his endorsement, Tesla registrations in Germany fell by 70% in the first two months of 2025.
A protest against Musk took place in New York on March 1, with demonstrators chanting “Musk is out of control.”
Trump Defends Musk in Job Cuts Controversy
Previously, Trump had defended Musk amid controversy over government job cuts. Musk had come under fire for allegedly pressuring employees to respond to work emails or face termination. Trump supported this stance, stating:
“I think it’s great. We have too many people who don’t show up for work, and no one even knows what they do. Every staff member should provide details of what they accomplished each week. This will reveal who is actually working and who is just collecting a paycheck.”
He further added that if employees failed to submit reports, “they should be fired.”
Looking Ahead: Can Tesla Recover?
With Tesla’s stock continuing to struggle and political controversies affecting its public perception, the company faces significant challenges in the coming months. Whether Trump’s endorsement will help restore confidence in Tesla remains uncertain.
For now, Musk’s response remains clear—he appreciates the support but will need more than words to reverse Tesla’s downward trajectory.
Key Takeaways:
- Tesla’s stock has dropped 45% YTD, with a 15% decline on Monday—its worst since 2020.
- Musk’s wealth has shrunk by $130 billion in just two months.
- Trump announced he will buy a Tesla to support Musk, calling him a “great American.”
- Protests against Musk’s political leanings have hurt Tesla’s sales, with a 70% decline in Germany.
- Trump backed Musk’s job cuts and demanded more accountability from government employees.
