Introduction to the Backlash Against Tesla

In late February, Culver City resident David Andreone posted a photo of his black Model 3 Tesla on Facebook and Instagram and offered it for sale for $35,000. Though the posts received dozens of comments, no buyers emerged. Andreone, 59, said he loves driving the car, but made the decision to sell after the brand’s association with co-founder and Chief Executive Elon Musk became too much to bear.

The Reason Behind the Decision

Musk, widely regarded as an eccentric visionary who popularized electric vehicles, has occupied a prominent position in the Trump administration as the leader of the so-called Department of Government Efficiency, or DOGE, since January. Once a champion of climate change activism, Musk now represents President Trump’s agenda, including efforts to downsize the federal government and roll back environmental protections. “I have never in my life bought or leased a car for political reasons,” Andreone said. “Now I feel like I want to get rid of one for political reasons. I’m just kind of shocked and appalled at what he’s doing.”

The Embarrassment and Shame

While Andreone is selling his vehicle, countless other Tesla drivers are wrestling with what the cars stand for and if they want to be connected with the brand. Some are embarrassed or ashamed by the association with Musk, they said, and several have slapped on bumper stickers that let people know they purchased the car before Musk took on his new public role. Bateman has put a bumper sticker on the back window of his Tesla stating, “I bought this before we knew Elon was crazy.”
(Gina Ferazzi / Los Angeles Times)

The Impact on Tesla’s Stock Price and Resale Values

Though Musk and Tesla still dominate the electric vehicle market, the backlash against Musk’s conservative politics could be contributing to Tesla’s plunging stock price and falling resale values, especially in liberal-leaning California, industry experts said. Tesla stock has dropped 26% over the last month and has fallen 35% year to date, reflecting concerns among some investors that Musk is not spending enough time tending to his highest-profile business.

The Protests and Their Effects

The protests come at a pivotal time for Tesla, which was already facing a slowdown in its business. Vehicle sales declined for the first time in the company’s history last year, the company reported in January. Deliveries fell to 1.79 million, representing a drop of 1.1% from 1.81 million vehicles in 2023, a decline that analysts attributed to a lack of new models in an increasingly competitive market for electric vehicles. Profits rose 3% to 73 cents a share in the fourth quarter (excluding one-time items), below the 77 cents a share that analysts had estimated.

Trump’s Endorsement and Its Consequences

In an effort to boost Tesla’s popularity among his supporters, Trump publicly purchased a new red Model S on the White House lawn earlier this week. It was a show of loyalty to Musk that will certainly earn Tesla some fans on the right side of the political spectrum, according to experts, but is sure to alienate others. The endorsement boosted Tesla shares, which surged 8% on Wednesday to close at $248.09.
President Trump steps out of his new red Tesla Model S on the South Lawn of the White House on Tuesday. The purchase was a show of loyalty to Musk.
(Associated Press)

The Impact on Resale Prices

“The question is, is Musk gaining more people than he’s losing?” asked Karl Brauer, an analyst at iseecars.com. Resale prices for used Teslas could suggest there is drastically falling demand for the vehicles, he said. In February, Tesla topped the list of brands that lost the most resale value year over year, followed by Maserati and Chrysler, according to data provided by Brauer. The price of a used Tesla Model S and Model Y each dropped by about 16% from February 2024 to February 2025. The price of a used Model 3 dropped 13.5% over the same period.

The Backlash Against Musk and Tesla

Amid the investor worries, opponents of Trump have been organizing against Musk and his car company, holding protests across the country to encourage people to get rid of their Teslas and denounce Musk. Others have taken out their frustration by vandalising or destroying the electric vehicles and their charging stations. In San Francisco, fliers posted around the city feature a photo of Elon Musk allegedly performing a Nazi salute and advise readers to “sell your swasticar.” Musk dismissed accusations that the salute was a Nazi-era gesture and blamed the liberal news media for misconstruing his actions.

The Effect on Tesla Drivers

Musk has other ventures apart from electric vehicles, including spacecraft maker SpaceX, internet service provider Starlink and neurotechnology company Neuralink. But his conservative image is most closely tied to Teslas, and the cars have become inseparable from his personal brand. “Musk is going to have to do a better job of balancing his DOGE and Trump responsibilities versus being chief executive of Tesla,” said Dan Ives, an analyst at Wedbush Securities who has a buy rating on Tesla stock. “When you’re so synonymous with a brand, it’s a careful balance and it’s almost reached a tipping point.”

Conclusion

The backlash against Elon Musk and his association with the Trump administration has led to a significant decline in Tesla’s stock price and resale values. Many Tesla drivers are embarrassed or ashamed by the association with Musk and have started to distance themselves from the brand. While some have put bumper stickers on their cars to show their disapproval, others have decided to sell their vehicles. The protests and negative publicity have also led to a decline in demand for Teslas, resulting in falling resale prices. As the situation continues to unfold, it remains to be seen how Tesla will recover from this backlash and whether Musk’s actions will ultimately hurt the brand.

FAQs

Q: Why are some Tesla drivers embarrassed by Elon Musk?
A: Some Tesla drivers are embarrassed by Elon Musk’s association with the Trump administration and his conservative politics, which they feel goes against the values of the brand.
Q: How has the backlash against Musk affected Tesla’s stock price?
A: The backlash against Musk has led to a significant decline in Tesla’s stock price, with the stock dropping 26% over the last month and 35% year to date.
Q: What is the impact on resale values of Teslas?
A: The resale values of Teslas have dropped significantly, with the price of a used Tesla Model S and Model Y each dropping by about 16% from February 2024 to February 2025.
Q: How have some Tesla drivers responded to the backlash?
A: Some Tesla drivers have put bumper stickers on their cars to show their disapproval of Musk, while others have decided to sell their vehicles.
Q: What is the future of Tesla amidst the backlash?
A: The future of Tesla remains uncertain, but it is clear that the brand needs to distance itself from Musk’s controversial actions and politics to regain the trust of its customers.