President Donald Trump made an unusual move on Tuesday, purchasing a Tesla Model S in a high-profile show of support for Elon Musk. The purchase, made right on the White House driveway, comes as Tesla struggles with declining sales and stock market troubles.
Trump, stepping into the sleek red sedan, admired the carโs design. โWow. Thatโs beautiful,โ he said, before promising to write a personal check for the vehicle, which retails for around $80,000. However, despite his enthusiasm, security concerns mean Trump wonโt be the one driving it. Instead, the car will be kept at the White House for staff use.
Teslaโs stock price jumped nearly 4% following the announcement, a brief reprieve from a 48% decline since Trumpโs return to office in January. โWe have to celebrate him,โ Trump said, referring to Musk. โElon is putting it all on the line for this country.โ
Musk under pressure as Tesla faces challenges
Elon Musk, who also serves as Trumpโs advisor through the Department of Government Efficiency (DOGE), has faced growing criticism over Teslaโs financial performance and his close ties to the administration. His other venturesโsocial media platform X and rocket manufacturer SpaceXโhave also been under strain. Musk recently claimed that X suffered a โmassive cyberattack,โ while two test flights of his Starship rocket ended in explosions.
Analysts warn that Trumpโs public endorsement of Tesla may not have the intended effect. โTesla is becoming a political symbol of Trump and DOGE, and that is a bad thing for the brand,โ said Wedbush Securities analyst Dan Ives. โYou think itโs helping, but itโs actually hurting.โ
Meanwhile, Tesla dealerships have been targeted by protests and even acts of vandalism. Police are investigating gunshots fired at a dealership in Oregon, and fire officials are looking into an incident where four Cybertrucks were set ablaze at a Tesla lot in Seattle.
Political Ties and Business Risks
Trumpโs purchase adds to a growing list of instances where his business interests and political influence intersect. His endorsement of Musk comes after Tesla has faced allegations of unfair labor practices and a boycott movement led by progressive activists.
The president has not shied away from defending Musk. โRadical Left Lunatics are trying to attack Elon and everything he stands for,โ Trump wrote on his Truth Social platform. โThey want to destroy Tesla just because he supports making government more efficient.โ
Yet, some experts question the long-term effects of such a direct presidential endorsement. โThis type of alignment with a political figure as controversial as Trump could alienate a significant portion of Teslaโs customer base,โ said auto industry expert Michelle Krebs.
For now, Teslaโs future remains uncertain. Will Trumpโs backing help the company bounce back, or will it further entrench Tesla as a politically divisive brand? Only time will tell.
Read more onย Tesla takedown: Elon Musk faces backlash over massive federal workforce cuts
