The Republican presidential nominee, Donald Trump, has recently softened his stance on electric vehicles in order to secure the endorsement of billionaire Elon Musk, the CEO of Tesla. Trump, known for his transactional politics, has traditionally supported an economic agenda centered around cheap fossil fuels that contribute to climate change, while Tesla aims to accelerate the transition to sustainable energy.
At a rally in Atlanta, Trump acknowledged his support for electric cars, noting Elon Musk’s endorsement as a key factor. He indicated that electric vehicles could continue to be part of the U.S. car market under his presidency. This change in tone was widely shared among Musk’s supporters and Tesla enthusiasts.
Despite previously pledging to roll back EV subsidies, Trump now emphasizes the importance of electric cars, suggesting that future production will likely shift to China due to mineral resource constraints in the U.S. He expressed concerns about the limited range and high costs of electric vehicles, contrasting them with conventional combustion engine cars.
Meanwhile, his vice presidential pick, J.D. Vance, has supported a bill to repeal Biden’s federal tax credit for EVs, favoring traditional vehicles instead. This stance has led to tensions with Elon Musk, who suggested that Trump’s hostility towards EVs could harm Tesla’s competitors more than Tesla itself.
Elon Musk’s political affiliations, particularly his alignment with right-wing parties, have divided the Tesla community. As a result, some customers have shifted their allegiance to competitors like Rivian, especially in California, Tesla’s stronghold. In Europe, where the EV market is sizable, Tesla has experienced a decline in demand as Musk embraced far-right ideologies, alienating some environmentally conscious consumers.
Recent data from Germany, the UK, and France shows a significant drop in Tesla sales compared to the previous year, reflecting a shift in consumer preferences towards other EV brands. Despite Tesla’s historical dominance in the EV market, its association with controversial political figures has led to a decline in sales and consumer loyalty in key European markets.
