Tesla is currently facing an unprecedented global boycott.
Protests at Tesla showrooms and incidents of vandalism targeting Tesla vehicles have surged in response to CEO Elon Musk’s connections with political figures and far-right groups. Musk’s initiatives, including the controversial “Department of Government Efficiency,” which involves mass federal worker layoffs and potential cuts to Social Security, have further fueled dissent. Disturbingly, a recent gesture reminiscent of a controversial salute has also impacted Tesla’s reputation and sales.
The consequences of this boycott have been significant, with Tesla’s electric vehicle sales plummeting by as much as 76 percent in certain markets. Crucially, the backlash isn’t limited to potential customers; even current Tesla owners are seeking to exit their purchases.
Tesla is facing a $1.4 billion financial gap
Recent data indicates that March 2025 recorded the highest monthly share of Tesla trade-ins to date. A notable number of Tesla vehicles have been traded in this month, with models from 2017 or newer accounting for 1.4 percent of all traded vehicles as of March 15.
This figure marks a substantial increase from last March, when Tesla cars constituted only 0.4 percent of trade-ins. Analysts suggest that the total may continue to rise as more trade-in data emerges throughout the month.
In February 2025, Tesla vehicles comprised 1.2 percent of all trade-ins, indicating a promising upward trend for March. It is important to note that this data excludes trade-ins made for new Tesla purchases, highlighting that these are not instances of upgrading to newer models.
Additionally, interest in purchasing new Tesla vehicles has reached its lowest point since October 2022, with only 1.8 percent of car buyers considering a Tesla. This measure peaked at 3.3 percent in November of the previous year.
For Tesla owners attempting to sell their electric vehicles, recent reports have shown a significant depreciation in value. On average, the price of used Tesla cars has dropped by 10 percent, a steeper decline compared to used vehicles from other automotive brands.
