President Donald Trump held a news conference with Elon Musk to identify the end of Tesla CEO’s tenure, over the US Dog Service as a special government employee at Washington’s White House Oval Office on May 30, 2025.
Tom Brener | Washington Post | Getty pictures
Tesla Facing the huge challenges trying to track again after the first quarter of harmful. Those headvinds were significantly strengthened this week.
CEO Elon musk At the end of May, the Trump officially ended their period with the administration The mark of 130 daysMaximum time is allowed for “a special government employee”. When leaving the door, Musk Trump expressed severe remarks about his signature Spending a bill that will be debated in the Congress due to the expected impact on the national debt.
The policy is a disagreement with the musk and President Donald Trump Throwing insults to another from the respective social media platforms. After calling the musk “One, Big Beautiful Bill” as “Abomination” and gathering his followers to “Bill Kill”, Trump Musk said In the “mad” and the government threatened to end the agreements and cut subsidies to Musk companies. “Continue, make my day,” Musk responded.
Cracked Tesla shares Drinked On Thursday 14%, approximately 2 152 billion worth of erased, it was more than any day in the company’s 15 -year history in the public market. Musk is still the world’s richest man on paper, but his net worth fell 34 billion Bloomberg’s Billionaires Index.
More importantly, this spit has resulted in a collapse of the relationship of actually unprecedented business, politics and power in the US history. The branches of the Tesla that were out of the Trillion Dollar Club on Thursday may be severe, and that Trump is not only considering selling or giving a red pattern purchased in March after he has converted a White House to A Tesla Showroom.
A senior White House official told NBC News on Friday that the president was “not interested” to call Musk with Musk to address his hatred.
With the support of the Trump administration’s IRE’s future control, investigation and government for Tesla, it can affect everything from the decisions of the tariff exceptions the company wants to buy Chinese -made manufacturing equipment.
Tesla shares have reduced the wide market badly before the musk-trump breakup. Income is 9% enforcement First trimester One year ago, auto revenues drop by 20%, due to the increased competition from a low-cost EV manufacturer in China, due to the backdrop of consumers and rhetoric for Trump’s political activities and rhetoric.
It would definitely not expect Tesla shareholders, when they were The stock has been sent About 30%of the Trump election victory in November. After Million spent 300 million money to return Trump to the White House, the Musk administration has come forward to play an important role in the administration and is in a position to push through regulatory changes in a way that benefits their companies.
Instead, their company has experienced, and is often blaming the behavior of the musk.
Tearing a USIID in one of their most separate measures in leading the Department of Government Efficiency of the Trump Administration (DOGE), which previously distributed billion dollars Food and .shadha To more than 100 countries.
Beyond the US, Musk has approved the AFD of the right -wing militant party in Germany, and many were given an indicator of the Nazi salute at the inaugural rally.
In response, in recent months, there was Several cases Tesla facilities or vehicles in the US, vandalism or fire, and waves of peaceful protests at Tesla stores and service centers in North America and Europe.
Advertisements in the Musk’s protests have appeared in the Times Square in New York and under the bus shelter of London, forcing people to boycott Tesla, labeling the company’s Evas as “Swastikars”. Even the Vancouver International Auto Show Tesla has been removed From the list of its performers for fear that the presence of the company will cause safety problems.
Over it is President Trump’s wide range of DutyThis has caused concern that the costs for EV production are increased for critical parts. In the first quarterly earnings report in April, Tesla avoided the development of hope this year and said it was “reconsidering our 2025 guidance on our Q2 update.”
Board Mum
Investing pension funds in Tesla said the company was “crisis” in the company Needed A leader who works at least 40 hours a week to focus on solving his problems.
Public officials are echoing that feeling and calls the Tesla Board to take action.
New York City Controller Broad Lander in a statement to CNBC on Thursday shows how the “School Yard” between Trump and Musk “Tesla’s weak liability measures and poor administration shows how the company’s economic stability and shareholders threaten the future of the production of EV.
Maryland’s controller Brook Leurman told CNBC that the company’s board is not doing his job to ensure that the CEO is in Tesla, giving the company the best of interests. “
He said the board should make sure that Tesla’s name is synonymous with Tesla, who is leading the company, no matter who is leading the company, Tesla can stand on its own.
“Musk’s behavior continues to threaten the future of Tesla,” Learman said. “Until Tesla is identified with Elon Musk and he continues to be a polarizing person. He continues to damage the brand that is a large part of Tesla.”
Musk did not respond to the request for a comment. CNBC Board Chair Robin has reached Denholm and respond to directors and executives working in government relations and CEO office. None of them responded according to the time of publication.
Ellon Musk interviews at CNBC from Tesla headquarters in Texas.
CNBC
Tesla investors, focused on the basics of business, are justified in their doubts.
The company has failed to bring out a new and affordable new model, but Chinese competitors such as the BYD have experienced floods in the market, especially in Europe.
Analysts at Goldman Sachs The 2025 perspective has reduced their price target in Tesla on Thursday. Analysts notice that distributions are being tracked for the US in this quarter, and European sales have fallen by 50% year-on-year in April and another two-digit drop in May. Those two months of Chinese sales were reduced by about 20% by a year.
Quality is also a problem. Tesla has announced eight voluntary recovery in 15 months due to several issues, including software errors and adhesive catalyst pedals.
Robotoxy ready?
He says that the musk is urging investors to ignore the major business and see the future, which is about autonomous vehicles and Humanoid robots.
But even there, Tesla is behind. The company has given up the ground in Avs Alphabet Woo operates commercial robotoxy services in several US markets. A decade after missing deadlines, Musk Tesla promised a small launch of driverless ride -Hing service Austin This month.
In a recent interview with Musk CNBC’s David Faber, the Austin Robotoxy service will operate in the Geofensd area, and only 10 to 20 model Ye vehicles have been established with a full -driving (FSD) technology. If everything goes well, Tesla will try to expand its driverless offerings to other markets, such as San Francisco and Los Angeles,.
Customers don’t see any time soon cybercab and robowan vehicles tells on it “We, the robot” Last year last year to increase the excitement of consumer and investor.
On Friday, Tesla’s Optimus Robotics Vice President Milan Kovak announced that he was leaving the company in 2016. Musk thanked them “The best gift“In the post on X.
Still, there are plenty of Tesla Bulls and Kasturi fans who believe in the CEO. 4% of the shares on Friday is a sign that some people have seen the opportunity to buy a dip.
“I think the real story here is the home of the investor of Tesla,” Josh Brown, CEO of Ritholtz Wealth Management and CNBC Pro OfferCNBC’s “Haftime Report” said Friday. “It’s still Nothing Matters Stock.”
Tesla Selloff is “overloaded”, said Tom Lee of Fundstrat.
Tesla’s market cap, dramatically inflamed compared to other US car manufacturers, Tesla’s Optimus Humanoid Robots are working in the factory and our children are built on the musk’s view of the babysen, but the self -driving cybercabs and robovans make money around the passengers.
Morgan Stanley’s Adam Jonas wrote this week’s note, “Tesla has many precious cards, which is mostly anti-political”, the company’s “AI leadership, autonomy/robotics, production, production, supply chain re-formation, renewable energy, (and critical basis.”
In the case of Tesla’s existing business, the immediate effect of what is happening in Washington DC is that the Musk is a rollback of the current budget bill, which is opposed to the loudest Budgets and is struggling to get enough support in the Senet. There is also a content of tariffs and is able to seek Tesla preferred treatment, seems to be more unlikely with the fall of the musk-trump.
Former Tesla staff program manager Matthew Labrot said CNBC was not surprised that he had exploded his relationship with the Musk president. The Labrot was terminated early this year after sending Open letter Oppose Musk’s separator political activity.
“I have been destroyed for the country and the weather, though Elon has to blame himself,” Labrot said in an interview. “Return a loose canon. Wait for a stray canon fire.”
Tesla Investors cannot know how much the power and time of Musk now returns to its only public company and how much their wealth will return. Without politics, he still owns SpaceX, AI Startup XAI and Brain Tech Startup Neurolink.
Two administrator officials told NBC News that by Thursday, the Musk had not yet been switched to the West Wing office. The place will be packed in the next few days, an official said.
And after their time is over in the Trump camp, Musk has called on their followers to create a new party in the US
“Is there a time to form a new political party in America. Does it represent 80% in the middle?” He wrote on Thursday X, now pinched at the top of his page. According to the post, 80% of the 5.6 million respondents to the unauthorized survey said “Yes”.
Musk’s actions this week can cause a permanent crack with the president. But one thing is clear – their company cannot stay away from the White House.
