US President Donald Trump has sparked controversy after labeling anti-Tesla protesters as potential “domestic terrorists”. The comments came at a White House media event where Trump sat in a new Tesla, which he plans to keep for the use of White House staff. The protest movement against Elon Musk’s cost-cutting measures in Trump’s administration has seen demonstrators gather outside dealerships and showrooms in several cities, with some incidents turning violent.
Tesla’s market value has halved since its all-time peak in December, with shares sliding 15% on Monday before recovering slightly on Tuesday. Analysts point to fears about the company meeting production targets and a drop in sales over the past year as the main reasons for the share price fall.
Musk has been tasked with cutting government spending through his Department of Government Efficiency (Doge), which has led to sweeping cuts to federal workforce, cancelled international aid programmes, and voiced support for far-right politics. Trump’s policies have also limited electric car sales in the US, including revoking a 2021 order that aimed to make half of all car sales electric by 2030.
The White House spokesperson confirmed later that President Trump indeed suggested labelling protesters as “domestic terrorists”, with Trump stating that anyone using violence against Tesla would face severe consequences. However, experts argue that the main reasons for Tesla’s share price fall are more related to production targets and economic concerns rather than Musk’s politics.
Source: https://www.bbc.com/news/articles/cqjdg4x08ylo