SAN FRANCISCO (KRON) — On Monday, protesters gathered outside the Tesla showroom on San Francisco’s Van Ness Avenue to protest against Tesla CEO Elon Musk and his involvement in the federal government. Musk, an unelected official, has been highly visible as the head of the Department of Government Efficiency (DOGE), despite the White House insisting he is technically not part of the department.
Similar protests outside Tesla stores took place across the country Monday in Manhattan and Minneapolis, among other places. With Musk drawing heavy criticism, particularly from Democrats, for his cavalier approach to cutting government spending, questions are growing about whether Tesla, the brand he is most closely associated with, could be facing blowback.
Are Tesla sales down?
Tesla sales are undeniably down, particularly in Europe. According to EV blog, Electrek, Tesla sales dropped nearly 60% in January compared to the same time last year. Similar drops are occurring throughout Europe.
But it’s not just Europe.
According to CNN, Tesla sales are seeing an “unprecedented slide.” The EV brand saw its first-ever global sales drop last year with sales falling one percent from 2023. One percent may not seem like a lot, but it’s notable for a company that saw 38% and 40% sales increases in the prior two years.
The number of used Teslas up for sale has also spiked, according to CNN. There was an average of 11,300 Telas listed on Cox’s Autotrader in the fourth quarter of 2024, compared to an average of 8,800 the previous year.
Are Musk’s politics to blame for Tesla sales drop?
So, what’s driving the drop in Tesla sales? For one thing, the EV market has become increasingly competitive with legacy auto manufacturers like General Motors, Ford and Volkswagen all getting in on the action. While it’s hard to definitively say that Musk’s politics are costing the company sales.
One indicator that they could be is a report from S&P Global Mobility that indicates the number of repeat Tesla buyers in blue states dropped from 72% in the final quarter of 2023 to 65% over the same period of 2024. Blue states like California, it’s worth noting, are some of the biggest car markets in the U.S.
SAN FRANCISCO (KRON) — On Monday, protesters gathered outside the Tesla showroom on San Francisco’s Van Ness Avenue to protest against Tesla CEO Elon Musk and his involvement in the federal government. Musk, an unelected official, has been highly visible as the head of the Department of Government Efficiency (DOGE), despite the White House insisting […]
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