Musk Is Leaving White House as Tesla Sales Plunge by Nearly Half in Europe

Elon Musk is leaving his government role as a top adviser to President Trump, it was announced Wednesday night, as Tesla’s European sales experienced a significant decline in April, dropping 49 percent compared to the same period last year, according to new data. The European Automobile Manufacturers’ Association reports that Tesla sold 7,261 vehicles in 32 European countries last month. Sales of other battery electric cars rose 28 percent over the same period.Things have gone south for Mr. Musk ever since he decided to go into politics, working in the Trump administration as the de facto head of the Department of Government Efficiency. In a call with investors last month, the Tesla chief executive said profits plummeted by 71 percent in the first quarter of 2025.His departure marks the end of a turbulent chapter that included thousands of layoffs, the evisceration of government agencies and reams of litigation. Despite the upheaval, the billionaire entrepreneur struggled in the unfamiliar environment of Washington, and he accomplished far less than he hoped.He dramatically reduced his target for cutting spending — from $2 trillion to $1 trillion to $150 billion — and increasingly expressed frustration about resistance to his goals. Sometimes he clashed with other top members of Mr. Trump’s administration, who chafed at the newcomer’s efforts to reshape their departments, and he faced fierce political blowback for his efforts.While sales of Tesla are plunging in Europe, a Chinese automaker, BYD, has taken over as the sales leader of pure electric cars on the continent. BYD sales jumped more than 54 percent in April, a historic shift that underscores the intensifying competition in the electric vehicle space.Meanwhile, traditional automakers continue to expand their electric and hybrid vehicle offerings, further pressuring Tesla’s market share.European consumers’ growing preference for hybrid electric vehicles has also affected Tesla’s performance. Hybrid cars, which combine small batteries with traditional fuel-based engines, accounted for more than 35 percent of the total European car market in April, according to ACEA data. Tesla, focused solely on fully battery-powered vehicles, does not offer any hybrid models.Tesla’s difficulties in Europe have been compounded by public backlash tied to Mr. Musk’s entrance into the world of EU politics. The world’s richest man formally endorsed the populist right-wing AfD party in Germany during the country’s parliamentary elections, drawing widespread criticism.The drop in sales isn’t new. Tesla’s year-to-date sales in Europe are down nearly 40 percent compared to the same period last year, while the Continent’s auto market showed little change in the same period, according to ACEA data.Tesla’s positioning is particularly bad in Nordic countries. Once leading the charge as the top-selling EV in Norway, Sweden, and Denmark, Tesla has lost substantial ground. Sales in Sweden dropped 42 percent year-on-year, while Norway and Denmark each saw declines of 48 percent. If sales troubles weren’t enough, Tesla is also grappling with attacks on its infrastructure. A string of arson incidents targeting charging stations was part of a larger trend of vandalism aimed at Tesla facilities across the United States. There were also graffiti attacks on Tesla owners’ cars and at Tesla dealerships, with owners posting photos of their cars tagged with spray-painted swastikas.The backlash has gotten so bad that an American pension fund in Pennsylvania became the first to officially slam the brakes on new Tesla stock buys. “Elon Musk’s choice to become a political figure rather than a customer-focused leader has compromised the Tesla brand,” the Lehigh County controller, Mark Pinsley, said in a joint statement with Tesla Takedown, which organizes protests against Mr. Musk.Lehigh County isn’t alone in its frustration. Earlier this year, 51 New York legislators called for completely dumping the state’s $1 billion in Tesla holdings.

Musk Is Leaving White House as Tesla Sales Plunge by Nearly Half in Europe

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