Billionaire Elon Musk’s electric car maker Tesla is facing severe headwinds amid reports of declining sales, recalls, and violent attacks on the brand. The company’s four top models were once considered cutting-edge, but industry analysts worry they are starting to look outdated.
Tesla has been hit by several challenges, including a 46,000-cylinder recall for Cybertrucks due to falling exterior panels, while Chinese auto manufacturer BYD claims it can charge batteries in just 5 minutes. However, its US market entry is hindered by tariffs and Beijing’s delayed approval of a manufacturing plant in Mexico.
The company saw new registrations fall in Europe by 45% in January compared to the same month last year, with sales down more than 70% compared to last year in Germany. A survey found that 94% of Germans would not buy a Tesla due to Musk’s endorsement of Germany’s far-right party.
Violent attacks on Tesla properties have increased since Trump took office, including showroom and dealership lot break-ins, as well as fires at charging stations. Musk has called the violence “insane and deeply wrong,” but some investors are pressing him to make a choice between his role as CEO of Tesla or his work with the Trump administration.
Wealth manager Ross Gerber has become one of the largest investors calling for Musk to step down as CEO, stating that Tesla is in crisis mode. The company’s struggles come amid concerns over China’s alleged technological theft from domestic innovators and the impact of Trump’s trade war on business.
Source: https://katu.com/news/nation-world/how-teslas-business-problems-might-run-deeper-than-elon-musks-lurch-into-politics-president-trump-doge-violent-attacks-cybertrucks-recall