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Tesla Has a Problem — and It’s Not Just Elon Musk’s Politics

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March 20, 2025

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Tesla Inc.’s sales started slowing even before Chief Executive Officer Elon Musk really threw his weight around in US politics. Now that he’s playing a starring role in the Trump administration and has taken his electioneering global, Tesla is falling on even harder times.

The electric vehicle maker got off to an extremely slow start to 2025 as its polarizing CEO went to work dismantling US government agencies and attacked political figures across Europe. It hasn’t helped that Tesla paused production at all four of its assembly plants to begin making the redesigned Model Y, its most popular offering.

Musk himself says he’s having “great difficulty” running his businesses while also tending to his work in Washington. While Tesla executives have said the company will return to growth this year after registering their first annual vehicle sales slip-up in more than a decade, some analysts now expect the company will record a further decline in sales.

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Tesla Has a Problem — and It’s Not Just Elon Musk’s Politics · Bloomberg News · Sentinel