On March 11, U.S. President Donald Trump announced on social media that he would purchase a "brand-new" Tesla to show his support for Elon Musk. This comes after the electric vehicle manufacturer suffered its worst stock decline in four years due to mounting opposition to Musk's political stance.
In the early hours of March 11 (Washington time), Trump posted on his self-created social media platform, Truth Social, stating that he would purchase a new Tesla "tomorrow morning" as a gesture of confidence and support for Musk, whom he called a "truly great American." He questioned, "Why should he be punished (by Tesla's stock decline) for using his extraordinary talents to help make America great again?"
Trump did not specify which Tesla model he planned to buy. Musk responded briefly with a simple "Thanks" on his social media platform, X.
On March 10, analysts, including Joseph Spak from UBS Group AG, lowered their delivery forecasts for Tesla, leading to a 15% stock drop-the largest single-day decline since September 2020. According to the Bloomberg Billionaires Index, Musk's net worth has shrunk by more than $130 billion since January this year.
The stock decline was driven by multiple factors, including disruptions caused by Tesla's model refreshes and updates. Additionally, Musk's political remarks and stances have negatively impacted Tesla's market reputation. For example, in Germany, Tesla's new car registrations plummeted by 70% in the first two months of this year after Musk publicly supported the far-right party Alternative for Germany (AfD) in the months leading up to the German elections.
In China, the world's largest EV market, fierce competition from domestic manufacturers such as BYD has also put pressure on Tesla. Tesla's Shanghai Gigafactory saw a 49% drop in deliveries in February, reaching only 30,688 vehicles-the lowest monthly figure since July 2022.
Musk, who previously spent tens of millions of dollars supporting Trump's presidential campaign, now serves in the U.S. Department of Government Efficiency (DOGE), overseeing federal spending reductions. In a Fox Business interview on March 10, when asked how he manages his business empire while focusing on his government role, the world's richest man admitted, "It's actually very difficult."
Since the beginning of 2025, Tesla's stock has plunged 45%, erasing all gains made since Trump won the 2024 U.S. presidential election in November.
