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Elon Musk’s Political Actions Could Be Harming Tesla Sales in the UK

Monday Yakubu by Monday Yakubu
January 28, 2025
in Technology
0

Elon Musk and two Tesla vehicles charging at the charging station

Elon Musk’s increasingly polarizing political stance is pushing British drivers away from Tesla electric vehicles (EVs), a recent survey has revealed. The research shows that nearly two-thirds of car buyers are hesitant to purchase a Tesla, citing Musk’s controversial political affiliations and outspoken behavior as key factors influencing their decisions.

In recent years, Musk, the billionaire CEO of Tesla, has become deeply involved in politics. He has publicly supported Reform UK, backed former U.S. President Donald Trump, and made waves with his purchase and rebranding of Twitter, now known as X. These actions, while building his reputation as a disruptive force in technology and politics, are alienating potential Tesla customers in the UK.

Public Perception Turning

Social media posts from current Tesla owners highlight the growing discomfort with Musk’s public persona. Some have gone so far as to affix stickers on their vehicles that read, “I bought this before we knew Elon was crazy.” For many potential EV buyers, Musk’s influence has led to outright rejection of the Tesla brand.

“Tesla has played a pivotal role in accelerating the adoption of electric vehicles,” said Ginny Buckley, CEO of Electrifying.com. “But our findings show that Elon Musk’s personal involvement in Tesla’s brand appears to be polarizing, pushing many buyers to look elsewhere.”

Buckley’s comments align with the survey’s findings, which indicate that 61% of motorists are open to buying cars from Chinese manufacturers, with 56% of potential EV buyers considering alternatives to Tesla.

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Chinese EVs Gaining Traction

Chinese EV brands like BYD are capitalizing on this shift in consumer sentiment. These brands have made significant inroads in Europe and North America, quickly becoming popular alternatives to Tesla. With a broader selection of electric vehicles available, consumers now have 133 EV models to choose from in 2024, compared to just 25 five years ago.

Andy Palmer, founder of Palmer Energy, noted that Musk’s influence might not be the sole reason for Tesla’s declining appeal but acknowledged the growing competition. “Tesla was a market leader, but the Model Y has slipped from the top spot. Tesla needs to think long and hard about its positioning and product offers if it wants to stop bleeding market share,” he said.

Tesla Sales Drop Amid Price Cuts

In 2024, Tesla experienced its first decline in sales in over a decade, selling 1.79 million cars—a 1% drop. While the decrease seems minimal, it comes against a backdrop of aggressive price cuts and rising competition. Despite being the best-selling EV brand in the UK last year, with over 50,000 registrations, Tesla’s grip on the market is weakening.

Some critics argue that Musk’s divided attention is contributing to Tesla’s challenges. Musk’s ventures with X (formerly Twitter), SpaceX, and Neuralink, as well as his role in the U.S. Government’s Department of Government Efficiency (DOGE), have raised concerns that Tesla is no longer his priority.

Controversies Fuel the Fire

Musk’s recent political activities have further fueled controversy. He faced backlash for a gesture interpreted as a Nazi salute during President Trump’s inauguration, though he defended himself, claiming he was “giving his love” to the audience. Additionally, his surprise virtual appearance at a rally for Germany’s far-right Alternative für Deutschland (AfD) party drew criticism. At the rally, Musk urged Germans to “be proud of German culture and values” and appeared to downplay Germany’s Nazi past, saying children “should not be guilty of sins of their parents.”

As consumer sentiment shifts and competitors gain ground, Tesla’s future in the UK and beyond may hinge on its ability to distance itself from Musk’s polarizing actions. While the brand remains a leader in the EV market, its long-term success may depend on regaining the trust of disillusioned buyers.

For now, as one survey respondent put it, “There are plenty of options out there. Why stick with a brand whose CEO makes you question your choices?”

Tags: Elon MuskPolitical actionSalesTesla

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