How toxic is Tesla? Brand's reputation at risk with rise of anti-Musk protests

Globally renowned brands would not ordinarily want to be associated with Germany's far-right opposition.

- Dan Milmo Jasper Jolly

But Tesla, one of the world's biggest corporate names, does not have a conventional chief executive. After Elon Musk backed Alternative für Deutschland (AfD), German voters are now considering an alternative for Tesla. Data released on Thursday showed that registrations of Tesla's electric cars in Germany fell 76% to 1,429 last month. Overall, electric vehicle registrations rose by 31%.

The world's richest person is enmeshed in US politics as a de facto cabinet member under Donald Trump, leading the so-called department of government efficiency (Doge) in cost-slashing efforts that experts say are illegal. But Musk has also intervened in European affairs - not least in the continent's largest economy. His support for the AfD included interviewing its leader in parliament, Alice Weidel, supporting it in posts on his social media platform X and describing it as Germany's "only hope". Tesla was approached for comment.

Analysts are openly wondering if Musk's support of rightwing leaders is causing lasting damage to a brand he has made synonymous with electric cars and, by extension, liberal aspirations to tackle climate change. Tesla's valuation has become inextricably tied to his politics. After he spent $288m (£220m) backing Trump's 2024 election victory, Tesla's valuation passed $1tn.

Tesla was the world's biggest producer of battery electric cars in 2024, but sales dropped to 1.79m, the first fall in sales since 2011, after years of rapid growth that made it the world's most valuable carmaker.

The manufacturer said in January that global sales would grow during 2025, and Wall Street analysts expect it to sell more than 2m cars this year. But even those forecasts would hardly represent a blazing return to form. As recently as October Musk said he expected 20% to 30% annual sales growth, implying as many as 2.3m cars.