Trump Vows to Buy Tesla After Stock Drop, Blames Radical Left
Former U.S. President Donald Trump has publicly announced his support for Tesla and its CEO Elon Musk after the electric car company’s shares plummeted by more than 15%. Trump blamed the stock slump on “radical left lunatics” who he claimed were deliberately boycotting Tesla to harm Musk’s business. In response to the situation, Trump promised to buy a brand new Tesla as a show of support for the billionaire entrepreneur.
Taking to his social media platform, Truth Social, Trump wrote, “I’m going to buy a brand new Tesla tomorrow morning as a show of confidence and support for Elon Musk, a truly great American.” He also added, “Radical left lunatics are trying to illegally and collusively boycott Tesla in an effort to attack and do harm to Elon.”
However, financial analysts have attributed Tesla’s poor stock performance to several factors, primarily concerning production challenges, declining sales, and investor fears about the company meeting its targets. According to market experts, the drop in Tesla’s stock value was mainly driven by a decline in car deliveries and increased competition from other electric vehicle (EV) manufacturers.
A UBS analyst on Monday predicted that Tesla’s deliveries in 2025 would be significantly lower than anticipated, contributing to the sharp stock decline. Additionally, Tesla’s sales have fallen sharply in key markets like Europe and China. According to the European Automobile Manufacturers’ Association (ACEA), Tesla’s sales in Europe plummeted by 45% in January 2025 compared to the same period last year. The company also faced similar setbacks in Australia and China.
Interestingly, Trump’s own economic policies have also raised concerns among investors. His tariffs on imported goods have worried automakers, including Tesla, whose parts are sourced from Canada and Mexico. Tesla’s Chief Financial Officer Vaibhav Taneja had previously stated that the company’s profitability could be affected by these tariffs.
“Tesla parts sourced from Canada and Mexico would be subject to the levies, and this could hit profitability,” Taneja noted in January.
On Monday, U.S. markets experienced a significant slump, with tech companies taking the hardest hit. Tesla’s shares dropped by 15.4% as part of the broader market decline. Other major tech companies, including Nvidia, Meta (Facebook), Amazon, and Google-parent Alphabet, also saw their shares plummet.
Adding to Tesla’s challenges, Elon Musk has recently faced backlash for his political affiliations and controversial comments. Musk, who now leads the so-called Department of Government Efficiency (Doge), a non-official entity, has been advocating for severe federal funding cuts. His public support for far-right ideologies has further triggered protests against Tesla.
Recently, around 350 protesters gathered outside a Tesla dealership in Portland, Oregon, while nine demonstrators were arrested outside a New York City Tesla showroom earlier in March.
Despite Musk’s polarizing political stance, Trump extended his full support to the tech billionaire, stating that Musk was doing a “fantastic job” and that the left was intentionally targeting him. “Some people are just trying to harm him and his business,” Trump said.
Following Trump’s public support for Tesla, the company’s stock saw a brief recovery, rising by approximately 5% in premarket trading. However, investment strategists remain skeptical, with Lindsay James from Quilter Investors stating, “When we look at new orders, for example in Europe and China, you can see that they’ve effectively halved over the last year.”
Experts also believe Musk’s divided attention between Tesla, SpaceX, and his social media company X is further affecting the company’s performance. Recently, SpaceX experienced consecutive failures in launching its Starship rocket, while X suffered a major outage on Monday. Musk himself admitted in a recent Fox Business interview that he was balancing his government efficiency role with his business operations “with great difficulty.”
While Trump’s support may have momentarily boosted Tesla’s stocks, analysts believe the company’s long-term performance will rely heavily on resolving production issues, expanding sales, and Musk’s ability to focus on Tesla’s growth.
