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Tesla CEO Musk's partisan politics cost automaker over 1 million EV sales, report shows

Yale economists estimate Musk’s political endorsements and actions caused Tesla to lose up to 1.26 million U.S. vehicle sales, benefiting competitors by up to 22%, the National Bureau of Economic Research found.

  • Elon Musk's partisan actions since acquiring Twitter in 2022 dramatically hurt Tesla's U.S. sales, costing the automaker between 1 million and 1.26 million vehicle sales from October 2022 to April 2025, according to Yale University economists.
  • Democratic-Leaning buyers shifted away from Tesla due to Musk's increasingly partisan behavior, including his roughly $300 million in donations to Republican candidates as well as his leadership role in the Trump administration's Department of Government Efficiency .
  • The 'Musk partisan effect' also boosted competitors' electric and hybrid vehicle sales by roughly 17% to 22% and hampered California's progress toward its zero-emissions vehicle goals, according to the report.
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Elon Musk’s politics cost his firm Tesla more than one million EV sales, report reveals

Elon Musk’s polarizing political actions since acquiring Twitter, later rebranded X, in 2022 dramatically hurt the automaker’s U.S. sales, underscoring how deeply its fortunes are intertwined with the billionaire’s persona.

·Atlanta, United States
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technewstube.com broke the news in on Monday, October 27, 2025.
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