FAFO Season: Elon Musk Begs Trump to Drop Tariffs as Tesla Crashes Hard

Elon Musk is facing a financial nightmare as Tesla crumbles under the weight of new tariffs. The tech mogul, once seen as an unstoppable force in innovation, is now scrambling as global markets turn against him. The latest hit? Canada has imposed a 100% tariff on Teslas, sending shockwaves through Musk’s empire.

Tesla’s Sales Plummet Worldwide

Musk’s troubles are mounting, with Tesla’s sales experiencing a significant decline across the globe. Recent data from China shows Tesla’s shipments have dropped by 49%, while the European market reports a staggering 50% decrease. Ironically, this decline comes at a time when China’s overall electric vehicle (EV) sales have surged by 82%. Even in Australia, Tesla deliveries were down by more than 30% in January compared to the previous year, marking the company’s worst month since July 2023.

If you think you’re having a bad day, spare a thought for Musk. The billionaire, often dubbed “President Musk” for his close ties with Trump, is now watching his empire spiral into chaos due to mounting tariffs and geopolitical tensions.

Canada Takes a Hard Stand Against Musk

The first major victim of these tariffs? Starlink. Musk’s $66 million contract with Ontario has been axed as Canada distances itself from his businesses. Premier Doug Ford made it clear: “Ontario doesn’t do business with people hellbent on destroying our economy.”

But the biggest blow is the 100% tariff on Teslas. This means a Model Y in Toronto could now cost as much as a small house. Canada didn’t stop there—it also canceled a major Starlink contract that would have provided internet access to remote communities. The message is clear: Musk’s support for Trump’s policies is costing him dearly.

China and Europe Abandon Tesla

Tesla’s downfall isn’t limited to North America. China, once a lucrative market for the company, has shifted its focus to domestic EV manufacturers like BYD, which offer high-quality cars at more affordable prices. While the Chinese EV market is thriving, Tesla’s presence is rapidly diminishing. The same is happening in Europe, where stricter regulations and a preference for local brands are pushing Tesla to the sidelines.

Adding to Musk’s woes, one of the largest Tesla dealerships in France was burned to the ground in a suspected arson attack, destroying over €550,000 worth of vehicles overnight. The growing hostility towards Tesla is becoming more evident worldwide.

Tesla’s Brand Takes a Hit

The backlash against Musk is no longer just political—it’s personal. Reports of Tesla vandalism are increasing, with some owners even covering the Tesla logo on their cars to avoid association with the company. As Musk continues to align himself with far-right political movements, consumers are voting with their wallets. Tesla’s stock has dropped 29% in the last month alone, signaling a massive loss in investor confidence.

Tesla was once the golden child of the EV revolution, but Musk’s political entanglements have turned it into a symbol of division. Countries that once embraced Tesla are now imposing restrictions, prioritizing local automakers, and resisting Trump’s economic strategies.

The Global Reckoning for Musk

Elon Musk’s empire is facing a global reckoning. Tesla’s dominance is being challenged, Starlink contracts are being ripped up, and nations are rejecting his brand. The very trade policies Musk once praised under Trump are now backfiring, leaving his businesses vulnerable to massive financial losses.

While Musk has long thrived on disruption, this time, the disruption is working against him. The billionaire who once prided himself on being untouchable is now watching his empire crumble, with no clear way out.