Tesla, the electric vehicle manufacturer, has seen a record number of trade-ins this month, according to data from Edmunds. This comes as protests against CEO Elon Musk’s work with the US government have gained momentum. Musk is an adviser to President Donald Trump’s Department of Government Efficiency.
The trend shows that 1.4% of vehicles traded in are Tesla models from 2017 or newer, up from 0.4% last year. If this continues, it would be the highest monthly share on record for Tesla trade-ins.
The protests against Musk have led to some Tesla owners giving away their vehicles as a display of anger towards him. Some social media posts show owners trading in their Teslas, with many citing concerns over depreciation and the brand’s increasing involvement in government.
Analysts say that this trend could create an opportunity for competitors. Edmunds’ head of insights, Jessica Caldwell, notes that “brand loyalty is becoming a bigger question mark” due to Musk’s actions. She believes that as Tesla’s sales decline, legacy automakers and EV startups may gain ground.
Tesla has reported a drop in sales, with estimates suggesting a 10% decrease in February. The company had previously seen its stock value rise after Trump’s election on hopes of easier regulations for robotaxis. However, Musk’s involvement with the government has led to a decline in Tesla’s stock price.
As Musk faces backlash from his role in cuts to the federal workforce and cancellation of humanitarian programs, some owners are choosing not to buy new Teslas. The data shows that shopper consideration of new Teslas dropped to 1.8% last month, the lowest level since October 2022.
Source: https://www.reuters.com/business/autos-transportation/tesla-trade-ins-pace-record-high-amid-musk-backlash-2025-03-20