President Donald Trump has held a news conference as a special government employee to mark the end of Tesla’s CEO’s tenure with Elon Musk, which oversees the US Dogge Seva at the White House Oval Office in Washington on Friday 30 May 2025.
Tom Brener | Washington Post | Getty images
Tesla A disastrous is facing large -scale challenges trying to go back to the track after the first quarter. Those headwinds strengthened this week.
CEO Elon Musk Officially ended his term with the Trump administration in late May, hitting 130 day markMaximum time is allowed for “Special Government Employees”. On his way out of the door, Musk expressed a sharp criticism of Trump’s signature Due to its expected influence on national loan, spending a bill being debated in the Congress.
What started as a policy disagree, quickly increased into an all-out online controversy, with musk and President Donald Trump To insult each other from your respective social media platforms. After Musk, “a big beautiful bill” is called a “hatred” and to kill his followers on X “,” stopped at Trump Tomoid said The “crazy” had gone and threatened to eliminate government contracts and cut subsidy for Musk’s companies. Musk replied, “Go ahead, make my day.”
Crack sent shares of Tesla plummeting On Thursday, 14%, wiping the value of about $ 152 billion, the most for any day in the company’s 15 -year history on the public market. While Kasturi is still the richest person in the world on paper, according to his net value is according to a decline of $ 34 billion. Billomberg’s billionaire index,
Even more importantly, Spat brought about the collapse of a relationship that mixed trade, politics and power in an almost unprecedented way in American history. Rumification for Tesla, which fell out of the trillion-dollar club on Thursday, may be serious, and not only because Tesla showroom,
A senior White House official on Friday told NBC News that the President was “not interested” in calling with Kasturi to resolve his quarrel.
The Trump administration can affect everything with government support for future regulation, investigation and Tesla, demanding to buy Chinese-made manufacturing equipment to make decisions on tariff exemption.
Tesla’s shares were badly reducing the wider market before the musk-trump breakup. 9% slipped in revenue First quarter A year ago, auto revenue declines by 20%, a consumer backlash for a combination of increasing competition from low -cost EV manufacturers in China and a consumer backlash for Trump’s political activities and rhetoric.
It is certainly not what Tesla shareholders expected when they Sent stock About 30%in the days after Trump’s election victory in November. After spending near $ 300 million to return Trump to the White House, Musk was designed to play a major role in administration and was in a position to push his companies through regulatory changes in ways benefiting.
Instead, his company has suffered losses, and Musk’s behavior is largely guilty.
One of his most divisive tasks in leading the Government Efficiency Department (DOGE) of Trump Administration was the disintegration of USAID, which had earlier delivered billions of dollars. Food and medicine For more than 100 countries.
Beyond the US, Musk has supported Germany’s far-flung extremist party AFD, and a gesture that many have seen as Nazi salutes at a inaugural rally.
In response, in recent months, there were there Many cases Waves of peaceful protests at Tesla Store and Services Centers in North America and Europe along with tesla features or vandalism or arson of vehicles in the US.
Advertisement against Musk appeared in Times Square, New York, and bus shelter in London, urged people to boycott Tesla, some that labeled the company’s EV as “swaps”. Vancouver International Auto Show also Tesla removed Fearing the company’s presence from the list of its exhibitors will cause security problems.
President Trump is widespread at his top TariffDue to which there have been concerns that the cost will increase for important parts and materials for EV production. In his first quarter earnings report in April, Tesla refrained from promising development this year and said that it would “see our 2025 guidance again in our Q2 update”.
The board is
Pension fund investing in Tesla has called the company “crisis” Is necessary A leader to work at a minimum of 40 hours per week to focus on solving your problems.
Public officials are echoing that feeling, and calling Tesla’s board to take action.
New York City Comptroller Brad Lander said in a statement to CNBC on Thursday that the “school fight” between Trump and Musk has highlighted how “Tesla’s weak accountable measures and poor regime not only threatens the company’s financial stability and shareholder value, but also the future of homegron EV production.”
Maryland’s controller Brooke Learman told CNBC that the company’s board “is not doing its job to ensure that Tesla has a CEO that is earlier putting the company’s interests.”
Since Musk’s name is synonymous with Tesla, the board needs to ensure that the Tesla can stand on its own regardless of leading the company, he said.
“Musk’s behavior threatens Tesla’s future,” the Learman said. “As long as Tesla is identified with Elon Musk and he continues a polarization figure, he will continue to harm the brand that is a large part of the value of Tesla.”
Musk did not respond to a request for comment. CNBC Board Chairman Robin also arrived for Denhom and directors and officials who work in government relations and in the CEO’s office. None of them responded as at the time of publication.
Elon Musk Interview on CNBC from Tesla headquarters in Texas.
CNBC
Tesla investors focused on business basic things, appropriate in their doubts.
The company has failed to roll out the innovative and affordable new models EVS, while Chinese contestants such as BYD have flooded the market, especially in Europe.
On analysts Goldman Sachs Analysts said that on Thursday, Tesla reduced its price target. The delivery in this quarter is tracking the US less in the quarter, while European sales saw a decline of 50% year-on-year in April and a decline of another double points in May. For those two months, China’s sales were about 20% less than a year ago.
Quality is also a problem. Tesla has announced eight voluntary recall of cyberrtrok in 15 months due to several issues including software bug and sticking accelerator paddle.
Robotaxi is ready?
Musk is urging investors to urge the main occupation mainly and look at the future, which he says that is about all autonomous vehicles and humanoid robots.
But there too, Tesla is behind. The company has cited land in AVS Alphabet Wemo, which is operating commercial robotaxi services in many American markets. After a decade lapse deadline, Musk has promised a small launch of Tesla Driverless Ride-Heling Service. Austin This month.
Austin Robotaxi service will work in an Geofend region, Musk recently said in an interview with CNBC’s David Faber, and full self-driving (FSD) will begin with only a small fleet of only 10 to 20 models Y vehicles with unhappy technology. If all goes well, Musk said, Tesla will try to expand its driverless offerings rapidly in other markets such as San Francisco and Los Angeles.

What consumers will never be able to see soon, there are cybercabs and robovon vehicles that Tesla told about it “We, robots” Customer and investor incident to drum the enthusiasm last year.
On Friday, Tesla’s Optimus Robotics Vice President Milan Kovak announced that he was leaving after joining the company in 2016. Musk thanked him to him “” “Outstanding contribution“In a post on X.
Nevertheless, there are many Tesla bulls and musk fans who are believers in the sight of the CEO. On Friday, the 4% rebound of the stock is an indication that some saw the opportunity to buy a dip.
“I think the actual story here is Tesla’s investor base, not literally cares about anything,” Josh Brown, CEO of Ritholtz Wealth Management and Josh Brown and Pro -CNBC contributorCNBC’s “Halftime Report” was told on Friday. “This is still nothing stock.”
Tom Lee of Fundstrate said Tesla was the celloff “overdone”.
Tesla’s market cap, which is dramatically inflated relative to every other US car manufacturer, is designed on the oyster of Tesla’s Optimus Humanoid robots, which is the factory work and makes our children rearent children, while self-drawing cybercabs and website make money carting around.
Morgan Stanley’s Adam Jonas Wrote in a note this week that, “Tesla Stil Holds So many Valuable Cards That Are Largely Apolitical,” Pointing to WHE SEE SEE SEE SEE SEE SEE SEE SEE SEE SEE SEE SEE SEE SEES AS THE AI LEADERESHIS Autonomy/Robotics, Manufacturing, Supply Chain Re-Aarchitecture, Renewable Power, [and] Important infrastructure. ,
In terms of Tesla’s current business, the most immediate impact from whatever is happening in Washington DC, the rollback of EV credit in the current budget bill that Kasturi opposes loudly and is struggling to find sufficient support in the Senate. There is also a matter of tariff and whether Tesla is capable of receiving preferred treatment, a proposal that is unlikely unlikely with musk-trump results.
Former Tesla’s former staff program manager Matthew Labrut told CNBC that he was not surprised that Musk blew up his relationship with the President. Labot was abolished earlier this year after sending one Open letter In protest against Musk’s divisive political activity.
“I have been destroyed to the country and climate, although Alone only blames himself,” Labrate said in an interview. “A loose canon back, an expectation of a stray canon fire.”
Tesla’s investors cannot know at this time that Musk’s energy and time will now return to his alone public company, and business responsible for his vast majority of money. Even without politics, they still have Spacex, AI Startup XAI and brain tech startup neurlinks, other businesses.
Till Thursday, Musk still had a West Wing Office that was not cleaned, two administration officials told NBC News. One of the officials said that space will be packed in the coming days.
And when his time in Trump Camp may end, Musk has called upon his followers to form a new party in America.
“Is it time to form a new political party in the US that actually represents 80% in the middle?” He wrote on X on Thursday, in a post which is now pinned to the top of his page. According to the post, 80% of the 5.6 million respondents for the informal poll said “Yes.”
This week Musk’s actions may have created a permanent rift with the President. But one thing is clear – his company cannot move away from the White House.
