The Voice News : Tesla is facing serious turbulence, and much of it points back to CEO Elon Musk’s controversial political choices.
The electric vehicle giant reported a staggering 71% drop in net income for the first quarter of 2025 compared to the same period last year. The downturn has been driven in part by Musk’s alignment with far-right ideologies and his increasing involvement in federal policymaking — moves that have alienated Tesla’s traditionally progressive customer base and triggered protests worldwide.
Compounding the issue, Musk’s political alliances in Washington — particularly with the Trump administration — are now threatening Tesla’s business. President Trump’s proposed budget eliminates key electric vehicle (EV) tax credits and clean energy incentives while intensifying trade tensions that are disrupting Tesla’s global supply chains.
According to Electrek, Musk appears to be acknowledging the damage. In a recent post on his social media platform, X (formerly Twitter), Tesla warned that “abruptly ending the energy tax credits would threaten America’s energy independence and the reliability of our grid.” The company advocated instead for a “sensible wind down” of clean energy tax benefits.
In another post, Musk pointedly noted that while EV and solar incentives are being slashed, fossil fuel subsidies remain untouched — underscoring the administration’s anti-renewable energy agenda.
Musk has also criticized Trump’s tax-and-spending bill for worsening the national deficit, writing that it “undermines the work that the DOGE team is doing” — a reference to his tech-focused internal team or possibly a nod to Dogecoin.
This marks a sharp reversal for Musk. Just last year, he advocated for eliminating all EV subsidies, tweeting, “Take away the subsidies. It will only help Tesla.” He even stated publicly, “I think we should get rid of all credits.”
But with Tesla now in crisis, Musk appears to be reconsidering. The Trump administration’s rollback of environmental protections — part of a broader “drill, baby, drill” philosophy — has not only raised alarms among environmentalists but even among oil and gas CEOs. It has also dealt a blow to Musk’s long-touted mission to accelerate the world’s transition to sustainable energy.
Some speculate that Musk’s recent shift may signal a return to Tesla’s original climate-focused mission, famously laid out in its since-deleted “Secret Master Plan.” Others argue the change is more strategic than sincere — a public attempt to placate investors and repair Tesla’s tarnished image.
Regardless of motive, the damage to Tesla’s brand is significant. Once a symbol of innovation and environmental consciousness, the company is now frequently associated with extreme political views and aging product lines.
Meanwhile, Musk’s political allies are doubling down on policies that jeopardize the future of the EV and renewable energy industries.
Tesla stock saw a temporary bump last month with Musk’s return to focus, but shareholders will soon want more than rhetoric. They’ll want results.