For a long time, it has been believed that Elon Musk has transformed Tesla into a beacon of innovation. But his slip into politics, particularly his collaboration with President Trump and his work within the federal government, has dragged Tesla into uncertainty.
For many Tesla buyers, the brand has lost its progressive sheen. And while Musk has long been the face of Tesla, the link has undergone a negative turn as billionaires oversee the massive layoffs and oversee the elimination of federal programs through government efficiency.
Tesla’s unfortunate first quarter delivery shows how much the brand has fallen from favor. The company reported 336,681 deliveries in the first three months of 2025, down from 495,570 in the fourth quarter of 2024 and 386,810 in the first quarter of last year. This is out of the depths of 2024, with fewer deliveries than the previous year amid delays in production and rising EV competition.
For many, mask political activity has transformed Tesla into an iconic pariah. Tesla Trade-Ins hit a record high, but sales in Europe fell. Foreign leaders are seeking boycotts, and automaker stocks have lost about half their value since December. Meanwhile, protesters continue to gather outside Tesla showrooms, dealers and even charging stations to accelerate the devaluation of the automaker’s brand.
“They have certain important public image issues that they’ve never seen before in the industry,” Sean Tucker, lead editor of Kelley Blue Book, told TechCrunch.
Even Dan Ives, one of Tesla’s most unwavering bulls, asked Musk to focus less on politics and more on his business.
To combat this impact on Tesla, Musk is leaning towards a sales pitch that Tesla is not an automaker, perhaps an AI company that commercializes self-driving cars and humanoid robots.
The question is whether the Tesla brand can recover.
Below are the moments TechCrunch continues to update, shaping the recognition of the Tesla brand and could have lasting impact on its future.
Magazine hat on the wheel
Recent research has found that Musk’s political trends have lost clients who were historically Tesla’s base Democrats, but this change has given him a path to Republicans. Researchers at Columbia University Northeastern University and one study from the University of Iowa found that Musk Trump’s support rose to 10.2% before the likelihood of Republicans buying Tesla rose from 7%.
That sentiment may only increase amid the reciprocal support of Trump’s Musk and Tesla, including his free commercial at the White House on March 11th.
“It’s on your stock”
On the evening of March 20th, Musk told employees and investors to “stick” in a Tesla All Hand presentation that was livestreamed on improvised glitch. [their] Despite feeling “like Armageddon.”
“It’s very difficult for people in the stock market, especially those who are looking at the rearview mirrors, most people, because we imagine a future where 10 million vehicles suddenly have 5-10 times more useful,” Musk said, noting that all existing Teslas have the hardware they need to turn into completely self-driving cars.
He advised employees to adjust the noise and focus on building a cybercab. This is a new priority. The CyberCab is a two-seater Robotakshi with no steering wheel or pedals. Current federal regulations do not allow mass production of such vehicles as they do not have human control, but Musks shows their intention to amend these rules.
He said the CyberCub manufacturing process is an engineering feat, a “fast appliance line” that “eventually we will be able to produce cars within five seconds.”
During the phone call, Musk also promised to produce around 5,000 Optimus robots this year. We believe this will become Tesla’s most valuable asset.
“The moment of truth”
On the same day as all the sudden hands, Tesla Bull Dan Ives wrote in a note that Mask’s involvement in the Doge led to “a moment of the Mask and Tesla brand tornado crisis.”
“If you agree or disagree with Doge, you’ve missed the point that Musk spent 110% of your time on Doge (not as Tesla CEO) and since President Trump returned to the White House, this essentially transformed Tesla into a political symbol.
Molotov cocktails and vandalism
Tesla showrooms, charging stations, facilities, and even privately owned vehicles have been hit by attack. In some cases, damage is minimal. It’s a car with spray paint and keys. In others, violence continues. The dealer is attacked by bullets and Molotov cocktails, and the charging station is on fire.
Musk responded by questioning why someone wanted to hurt Tesla.
Trump’s reaction has been more pointed out. He declared that any acts of violence that could include spray painting would be treated as domestic terrorism by the federal government.
“We’re looking forward to seeing sick terrorist thugs win 20 years of prison for what they’re doing to Elon Musk and Tesla. Perhaps they can serve them in El Salvador prisons, Trump said on his social media platform, Truth Social.
At the time of this writing, the Department of Justice has brought charges against three individuals allegedly responsible for the violent destruction of Tesla’s property.
Tesla takedown
Peaceful protests have erupted across the country as part of the so-called Tesla Takedown movement.
The goal of the movement is to hit musk in his wallet and where it hurts, the source of his wealth and power. Protesters are showing up at Tesla dealers and showrooms to discourage people from buying Tesla cars. They also aim to encourage Tesla owners to sell their vehicles and Tesla shareholders’ shares.
Despite these protests being peaceful, they are beginning to see the beginning of violent protests, like the Florida men who drove their SUVs into crowds outside the Palm Beach Tesla dealership in March.
Relationship with proud boys
Thousands of people join the Tesla Takedown in showrooms across the country during the final weekend of March. The crowd drew a small number of protests in several areas where people made it to people, reports that were primarily reported by Magazine supporters. Among them were far-right extremists, including proud boys and members of armed militias.
“Roman” salute
While speaking at a rally to celebrate Trump’s inauguration in January, Musk did what many perceive as not one but two Nazi salutes.
This damage is only amplified in his history of Musk’s support for the far-right German political party AFD and sharing his post of anti-Semitism.
Shortly after the salute, activists projected the image of Musk salute on Tesla’s Berlin Gigafactory, along with the word “Hail.”
Decreased sales in Europe
In a recent survey of 100,000 Germans, 94% don’t buy Tesla, and sales data support it.
Germany is one of Tesla’s Gigafactories and traditionally one of the largest markets for automakers. However, in February 2025, domestic Tesla sales fell 76% that month to 1,429 sales, compared to 6,038 in February 2024.
Tesla sales have fallen at a similarly aggressive pace across Europe. After a 45% decline in February and January, Tesla registrations across the continent fell 44% year-on-year.
Bide breakthrough
One of Tesla’s biggest competitors, China’s BYD is promoting a major breakthrough in charging. The automaker said this week that it can charge a new car for five minutes, giving it a huge competitive edge against Tesla and in fact other EV manufacturers.
China is one of Tesla’s biggest markets, but BYD continues to bully car makers on their own lawns. BYD recently unveiled an advanced driver assistance system for Tesla’s autopilot and FSD-like “God’s Eye.” It will be installed at no additional cost across the entire EV lineup, including the ultra-stable $9,600 Seagull hatchback.
BYD continues to impress consumers with its high-tech range EVs and hybrids, once again outpacing Tesla’s revenue. In 2024, BYD reported revenue of $100 billion compared to Tesla’s $97.7 billion.
I remember the aging lineup and cybertrack
Tesla has been suffering from an aging lineup for years. Cybertruck was meant to be the next big bet for automakers to prove they could offer innovative new models. And in fact, trucks are popular among American buyers.
Still, Tesla has issued eight CyberTruck recalls since launching the vehicle in November 2023. Most recently, Tesla had to remember 46,000 CyberTrucks for the outer steel trim panels on the side of the windshield, which are clogged with superglue and seemingly just peeled off.
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