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Musk to scale back White House advisory role after Tesla profit, sales slump

23.04.2025 14:00
Elon Musk said on Tuesday he will “significantly” reduce the time he spends leading President Donald Trump’s Department for Government Efficiency to refocus on Tesla amid the company’s falling sales.
Elon Musk.
Elon Musk.Shutterstock/Frederic Legrand - COMEO

The EV maker reported a 70 percent plunge in quarterly profit and a 20 percent slide in vehicle deliveries.

Musk told analysts he will cut his commitment to the cost-cutting task-force from full-time to “one or two days a week” starting in May, though he plans to keep the unpaid post “as long as the president finds it useful.”

Under federal rules, temporary appointees may work only 130 days a year, a limit Musk is expected to reach late next month.

The billionaire’s political role has triggered global protests and boycotts of Tesla vehicles; the company warned investors that “changing political sentiment” and Trump’s escalating China tariffs could further hit demand and raise supply-chain costs.

Tesla shares, down 37 percent so far this year, gained 5 percent in late trading after results.

Trump has said he hopes to retain Musk “as long as I can keep him,” but the White House gave no timetable for a successor.

Musk, who donated more than $250 million to Trump’s re-election campaign, said lower tariffs remain his goal but acknowledged they are “still tough on a company where margins are low.”

(jh)

Source: Reuters, BBC