Trump Backs Musk, Promises to Buy Tesla Amid Stock Slump and Protests, But Critics Say The President’s Policies Hurt EVs

President Donald Trump is committed to buying a new Tesla vehicle to show his support for Elon Musk, while the electric car manufacturer is struggling with a stock market crash, the drop in sales and the intensification of protests.

“For the Republicans, the Conservatives and all the great Americans, Elon Musk” puts into play “to help our nation, and it does a fantastic job! But radical left madmen, as they often do, try to boycott illegally and colusively Tesla, one of the major car manufacturers in the world, and Elon’s “baby”, in order to attack and harm Elon, and all that he represents, “said Trump.

He added that “they tried to do it to me during the 2024 presidential polls”.

“In any event, I will buy a brand new Tesla tomorrow morning as a demonstration of confidence and support for Elon Musk, a very big American. Why should he be punished for putting his huge skills at work to help America again big ??? »»

The announcement, made on Tuesday on Trump’s Trump social platform, came in the middle of what its allies qualified the “Tesla Takedown”, a reference to the growing demonstrations against the role of Musk in the implementation of massive reductions in federal workforce under the Trump administration.

Tesla’s approval by Trump seemed to provide a temporary elevator to the company’s shares, which rebounded 5% in the market prior to the market after having undergone its worst decrease of one day in more than four years on Monday.

However, industry experts argue that although Trump’s symbolic gesture can help strengthen Musk’s public image among conservative supporters, it does not do much to meet the real challenges that Tesla is confronted. Many have pointed out that if Trump really wanted to help Tesla and the wider industry of electric vehicles (EV), he will have to reverse the aggressive decline in pro-green energy policies by the administration, which had strengthened sales of electric vehicles under the previous administration.

Tesla, formerly a dominant force on the electric vehicle market, is experiencing an unprecedented period of troubles, with the course of its actions, its sales and its brand reputation all taking major successes. The increasingly controversial political activity of Musk, in particular its leadership of the Department of Efficiency of the Government of the Trump Administration (DOGE), has alienated large parts of Tesla customers and sparked a wave of anti-TESLA demonstrations through the United States

Last week, 350 demonstrators gathered outside a Tesla exhibition hall in Portland, Oregon, condemning the role of Musk in the elimination of thousands of government jobs. Earlier this month, a Tesla dealer in New York was the site of another demonstration, where nine people were arrested after tensions increased. The demonstrators argue that the deep involvement of Musk in Trump’s efforts to dismantle federal agencies and reducing the employment of the public sector is a direct betrayal of the original image of Tesla as a avant-garde progressive company.

The backlash has resulted in a drop in consumer interest in Tesla, especially in states and countries which have traditionally favored green energy policies. According to a report by Bank of America, Tesla vehicle sales in Europe plunged 50% in January compared to the previous year. The report attributed the decline in part to the growth of discomfort on Musk’s policy, as well as delays in the publication of a redesigned model Y.

Trump defended Musk, saying that the billionaire “put him into play” to help the country and did a “fantastic” work. Musk replied on his own Platform, X, thanking Trump for his approval.

Trump’s EV policies contradict his support for Tesla

Although the public embrace of Trump de Tesla and Musk was celebrated by many of his supporters, it is believed that the aggressive decline in his administration of pro-EV policies actively affects industry, including Tesla herself.

Since his entry into office in January 2025, Trump has dismantled almost all the policies of the Biden era it was feed the adoption of vehicles in the United States

Among the most damaging inversions are:

• Elimination of EV federal tax credits: Under Biden, consumers could receive up to $ 7,500 in tax credits for the purchase of an electric vehicle. These incentives have helped stimulate Tesla’s demand and other EV brands. Trump’s decision to put an end to these credits made the EVs less affordable and discouraging buyers.
• EV load infrastructure Biden administration had affected billions of dollars to extend the national EV load network, which allows Americans to spend gas cars more easily. Trump reduced this funding, considerably slowing down the growth in infrastructure.
• Backtracking standards: Biden had imposed objectives for reducing strict emissions that have prompted car manufacturers to prioritize EV production. Trump has reversed these regulations, allowing companies to slow down the development of the FI and extend the lifespan of petrol vehicles.
• Remove federal mandates from the EV fleet: The previous administration had committed to converting the entire federal fleet of vehicles into electric cars, a movement that would have resulted in major contracts for Tesla and other manufacturers of electric vehicles. Trump canceled the plan, eliminating what could have been a lucrative source of income for industry.

Industry analysts argue that although Trump’s symbolic support in Tesla can increase Musk’s morale, he cannot compensate for the material damage that his policies cause to the electric vehicle market.

Tesla’s shares have undergone a spectacular collapse since the achievement of its summit of $ 1.5 billion in market capitalization on December 17, 2024. The company has now lost more than 50% of its value, eraing most of the members of The earnings he made After Trump’s electoral victory, supported by Musk in November.

The decline was fueled by a combination of lower sales, the growing toxicity of the brand and the concerns of investors that Musk’s political distractions prevent it from properly managing Tesla.

On Monday, Tesla shares have experienced their biggest decrease by one day since September 2020, causing the Nasdaq down almost 4%, its worst has been decreasing for years. Analysts warn that in less than Tesla can stabilize its activities and repair its reputation, the descending spiral of the company can continue.