Elon Musks MAGA politics are fast becoming a mega problem for Tesla.New registrations of Tesla vehicles plummeted across Europe last month amid widespread boycotts against the EV brand. While broader economic forces are at play, Musks role in the Trump administration and his open support of far-right politicians appears to be fuelling his companys precipitous fall from grace and gifting rival brands a golden opportunity.Germanys transport authority reported that new Tesla registrations in January fell by nearly 60% year-on-year. Thats despite the countrys battery-electric vehicles sector seeing a combined 53.5% growth in sales last month.Dramatic declines in registrations were also reported in Spain (75.4%), France (63.4%), Sweden (46%), and the Netherlands (42.5%). The dip has been linked to the behaviour of Teslas CEO.Register NowThere is no doubt that the Musk factor has influenced Teslas sales in the same way as his reputation impacted Twitter when he bought it and rebranded it as X, Andrew Fellows, an automotive industry expert at Star, a market intelligence firm, tells TNW.Musk, an already divisive figure, has gone on a MAGA rampage in recent months, with the worlds richest man and the social media platform X, which he owns fast becoming a mouthpiece for Trump-era conservatism.In Europe, Musk has openly endorsed Germanys populist AfD, even hosting an interview on X where he heaped praise on the partys leader Alice Weidel. At the Trump inauguration on January 20, Musk made a controversial hand gesture, which many interpreted as a Nazi-style salute.Musks actions are either despicable or courageous, depending on whom you ask. But for those who deplore his actions, Tesla a brand hard to set apart from its leader is an obvious target.The backlash against TeslaOn January 23, political campaigners beamed an image of Musk making the Nazi-like salute along with the word Heil onto Teslas gigafactory in Berlin.After Musk joined an AfD rally by video call in late January, Polands Tourism Minister Slawomir Nitras called for a boycott ofthe EV brand. In early February, a Tesla showroom in the Netherlands was defaced with swastikas and anti-fascist slogans.Its not hard to argue that public sentiment against Musk is souring. However, whether the entrepreneurs actions are hurting Teslas bottom line is harder to measure.One of the best ways to gauge that is to ask Tesla owners.In the Netherlands, one in three Tesla drivers want to get rid of their car because of Musk, according to a recent survey. One such individual is Tim Kraaijvanger, the founder of Tesla360.nl, a Dutch site dedicated entirely to Tesla products. In an ironic twist, Kraaijvanger recently sold his Tesla and bought a Polestar instead.I do not wish to be associated with [Musks] ideology, he told Wired. While Musk might get away with a [Nazi-like] salute in some parts of the world, European markets reject such behaviour.Musks antics could be good news for other EV-makers, as more people like Kraaijvanger jump ship. Its a fantastic opportunity for rival manufacturers, says Fellows.Among those poised to take advantage is Polestar, the Swedish EV brand. Polestars CEO Michael Lohscheller said that the company has seen a spike in enquiries from disgruntled Tesla owners in recent months and hes encouraging his salespeople to target them.We get a lot of people writing that they dont like all this, Lohscheller told Bloomberg News. Its important to listen closely to what they say. And I can tell you, a lot of people have very, very negative sentiment.Some drivers, not yet ready to part with their Tesla, have begun attaching stickers to their cars bearing messages such as, I bought this car before Elon went crazy. Even some of Teslas employees want to distance themselves from their boss, according to the Washington Post.As of today, Tesla stock has fallen 15% in the last month.Tesla is developing a serious reputational problem, says Fellows. The automotive industry expert believes Musk and Trump share around 30% of the blame for the EV makers sales decline. He attributes the remaining 70% to industry factors.The blame gameTeslas Model Y was Europes best-selling car in 2023, but intense competition has challenged the brands market share. In 2024, Teslas sales declined by 1.1%, its first drop in over 10 years. In September, Chinese automaker BYD became the worlds leading EV brand, thanks to its aggressive pricing strategy.While Tesla has made modest changes to its lineup in the past few years, rival brands like VW, Renault, and BMW have been rolling out new models, sometimes with lower prices.Tesla has also been subject to many of the same challenges as other EV makers slowing demand, supply chain shocks, and decreased subsidies for first-time buyers. But the company also has some unique issues of its own.Tesla was already facing several headwinds in 2025 before CEO Elon Musk found himself at the centre of several controversies with the potential to impact the companys sales volume and profitability, Peter McNally, senior analyst at London-headquartered research firm Third Bridge, tells TNW.Musks firm has also been busy updating its Model Y, which McNally believes contributed to the sales drop as customers wait for the latest model before upgrading. The refreshed Model Y is set to go on sale in the US next month.Musks antics couldnt have come at a worse time for Tesla, as it grapples with intense competition, an ageing model lineup, and a wider slump in demand for electric vehicles.Teslas reputation in Europe now largely hinges on its CEO unless the company decides to oust him. Story by Sin Geschwindt Sin is a climate and energy reporter at TNW. From nuclear fusion to escooters, he covers the length and breadth of Europe's clean tech ecos (show all) Sin is a climate and energy reporter at TNW. From nuclear fusion to escooters, he covers the length and breadth of Europe's clean tech ecosystem. He's happiest sourcing a scoop, investigating the impact of emerging technologies, and even putting them to the test. Sin has five years journalism experience and holds a dual degree in media and environmental science from the University of Cape Town, South Africa. 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